France Lawmakers Advance Crypto Taxes as Budget Revenue Plan Fails

France’s National Assembly Finance Committee approved proposed taxes on certain stablecoin conversions and large crypto holdings, but rejected the revenue section of the 2027 budget before the measures could take effect.

One amendment would treat the exchange of crypto assets for stablecoins covered by the European Union’s Markets in Crypto-Assets (MiCA) framework as a taxable sale. The measure would apply to transactions beginning Jan. 1, 2027, using the taxpayer’s weighted-average acquisition cost to calculate gains.

A second amendment would impose an exit tax on unrealized crypto gains when French tax residents relocate abroad. It would apply to households holding more than €800,000 in crypto assets, including assets held through exchanges, overseas accounts or self-custodied wallets, if the taxpayer had been a French tax resident for at least six of the previous 10 years.

The committee voted 31-3, with two abstentions, to reject the budget’s entire revenue section after extensive revisions. Another approved amendment would allow crypto losses to offset gains for up to 10 years, compared with the current one-year limit.

The National Assembly is scheduled to start debating the revenue section Oct. 13, using the government’s original proposal. The tax measures would need to be reintroduced and approved in the full chamber to become effective.