France's Assembly Backs Tax on Swaps Into MiCA-Defined E-Money Tokens

France's National Assembly approved by one vote an amendment that would tax gains when crypto assets are exchanged for MiCA-defined e-money tokens, even before a cash-out.

Lawmakers passed amendment I-3898 on Oct. 16 by 38 votes to 37, with 25 abstentions. The measure targets exchanges in which a taxpayer disposes of crypto assets and receives an e-money token defined by the European Union's Markets in Crypto-Assets (MiCA) regulation, or related rights. E-money tokens are a specific category of stablecoin.

The proposal would remove tax deferral for gains on those transactions. That means a swap into a qualifying token could trigger tax before an investor converts the proceeds to euros or withdraws them to a bank account. France's 31.4% flat-rate levy applies to gains from private crypto-asset disposals; taxpayers can elect to use progressive income-tax rates instead.

David Amiel, France's public accounts minister, opposed the amendment during debate. He argued that France first needed to define stablecoins and determine how to track asset movements within crypto portfolios.

The vote approved an amendment to the draft 2027 budget, not the final budget. The provision could still be revised or removed during the remaining legislative process. If enacted, it would take effect Jan. 1, 2027.