France Plans New Taxes on Cryptocurrencies

The French National Assembly’s Finance Committee has backed a proposal to tax unrealized gains on crypto assets held by investors with more than €800,000 in assets when they leave the country. The proposal also предусматривает fines of up to €10,000 for undeclared personal cryptocurrency wallets.

The proposed changes are intended to take effect on January 1, 2027. They would extend France’s existing “exit tax” regime to cryptocurrencies. The tax currently applies to individuals who have lived in France for at least six of the past ten years and leave the country holding more than €800,000 in securities.

If adopted, the proposal could also cover crypto assets held on foreign platforms and in self-custody wallets. However, the specific tax rate for cryptocurrencies has not yet been determined.

The committee also backed an initiative requiring individuals to declare personal cryptocurrency wallets with a total value of at least €100,000. Under the proposal, violations could result in fines of up to €10,000. Currently, the declaration requirement primarily applies to cryptocurrency accounts held abroad.

Other proposed measures include taxing cryptocurrency swaps involving stablecoins, allowing investors to offset losses against future gains, and increasing penalties for failing to comply with document requests from tax authorities.

Supporters of the initiative argue that cryptocurrencies could be used to circumvent existing tax rules. Meanwhile, industry representatives warn that collecting information about personal wallets could pose security risks to investors.

It is important to note that the proposals have not yet become law. The Finance Committee rejected the revenue section of the government’s 2027 budget, meaning the cryptocurrency-related amendments are expected to be resubmitted during a plenary session of parliament. Following the budget votes, the bill will be sent to the Senate.