The decision has been taken after the massive airstrikes launched by the US led international coalition hit its banks in Iraq.
US officials have claimed that hundreds of dollars were destroyed in the airstrike, reported the Independent.
The air strike on ISIS bank came alongside 11 other strikes in Iraq on January 11. Coalition forces also targeting its tactical units, a warehouse and fighting positions.
According to media reports, to deal with this financial crunch, ISIS' governor in Mosul issued a fatwa that allows its militants to raise funds from the local citizens by taxing them.
The earlier reports suggested that the ISIS generated huge wealth from oil smuggling which is used to fund its operations, paying fighters a monthly salary and providing assistance to their families.
Reports also claimed that foreign recruits to the ISIS are paid as much as $1,000 a month.
ISIS also funds schools in the Iraqi and Syrian territory it controls, and operates a welfare system to get the loyalty of local residents.