The encryption innovation committee and the block chain association filed a lawsuit in Illinois to block the implementation of the digital asset tax

THE ENCRYPTION INNOVATION COMMISSION (CCI) AND THE BLOCK CHAIN ASSOCIATION HAVE FILED A LAWSUIT IN SANGAMON COUNTY, ILLINOIS, TO PREVENT THE STATE FROM IMPLEMENTING THE NEWLY ADOPTED DIGITAL ASSET TAX. THIS IS YET ANOTHER LEGAL CHALLENGE TO THE TAX BY THE ENCRYPTION INDUSTRY FOLLOWING LAST MONTH'S LITIGATION BY THE DIGITAL CHAMBER OF COMMERCE. THE PLAINTIFF CLAIMED THAT THE TAX VIOLATED THE UNITED STATES CONSTITUTION, THE ILLINOIS CONSTITUTION AND THE INTERNET TAX FREEDOM ACT. THE RELEVANT LAW IMPOSES A 0.2 PER CENT TAX ON THE VALUE ASSOCIATED WITH THE TRANSACTION, TRANSFER OR STORAGE OF DIGITAL ASSETS OF ENTERPRISES FOR CLIENTS IN ILLINOIS, AND APPLIES TO ENTERPRISES OPERATING IN THE STATE OR WITH A TOTAL RELATED INCOME OF MORE THAN $100,000. CCI STATED THAT THERE WAS NO EQUIVALENT TAX ON TRADITIONAL ASSETS AND THAT THE MEASURE IMPOSED PUNITIVE TREATMENT ON DIGITAL ASSETS ONLY BECAUSE OF THE DIFFERENCES IN BOTTOM TECHNOLOGY. THE TAX IS EXPECTED TO RAISE APPROXIMATELY $60 MILLION FOR ILLINOIS'S FINANCES。