Cryptocurrency and blockchain advocacy organization The Digital Chamber is suing the State of Illinois over the state’s 0.2% tax on crypto transactions expected to go into effect in 2027.

In a Tuesday filing in the circuit court of Sangamon County, Illinois, the Chamber alleged that the Illinois state tax for the 2027 fiscal year was “facially invalid.” The organization filed a civil suit against Illinois Attorney General Kwame Raoul and the Department of Revenue’s David Harris, claiming that the crypto tax was “slipped into the state’s budget” without a debate or feedback from people potentially affected.

“The lawsuit argues that no one should be taxed differently because of how ownership is recorded or transferred,”…