France proposes 31.4% capital gains tax on crypto-to-stablecoin conversions under MiCA rules, effective January 2027.
DeFi & Yields ·
France is proposing to impose a 31.4% capital gains tax on conversions from cryptocurrency into MiCA-regulated stablecoins, with the measure set to take effect in January 2027, according to reporting on the proposal. The tax would apply specifically to transactions moving digital assets into stablecoins compliant with the EU's Markets in Crypto-Assets Regulation framework.
The proposal extends beyond capital gains treatment to include additional compliance requirements on holders and traders. Wallet declaration obligations and exit tax provisions are part of the broader regulatory framework being introduced alongside the stablecoin conversion tax, creating a more comprehensive reporting and taxation environment for crypto activity in France.
The full scope of implementation mechanics—including how the rate will be applied to mixed or partial conversions, whether any exemptions exist, and how cross-border compliance will be handled—remains unclear at this stage. The January 2027 timeline is confirmed, but details on transitional rules or administrative procedures for compliance have not been specified in available reporting.