France's National Assembly passes crypto-to-stablecoin taxation amendment by a single vote, set to take effect in 2027

Odaily reports: France's National Assembly passed a 2027 budget amendment with 38 votes in favor, 37 against, and 25 abstentions, proposing to eliminate the tax deferral treatment for converting cryptocurrencies into single-currency stablecoins starting January 1, 2027, and to bring such transactions within the scope of capital gains taxation.

Under the amendment, when investors convert crypto assets into stablecoins pegged to fiat currencies such as the euro or U.S. dollar, they may be required to pay capital gains tax at the current flat rate of approximately 31.4%, even if the assets are not converted into legal tender.

The amendment was proposed by French lawmaker Nicolas Sansu and others, and France's Minister of Public Accounts had previously called for its withdrawal on the grounds of implementation complexity. The amendment has currently only passed the first reading in the National Assembly and has not yet formally become law; it still needs to go through Senate review and subsequent legislative procedures. (The Defiant)