In France, crypto taxation has been simplified in recent years. Since 2019, most individual investors pay a flat tax of 30% (Prélèvement Forfaitaire Unique, PFU) on their crypto gains.
But there are important differences between occasional investors and professional traders, and rules around mining, staking, and NFTs that can catch people out. Let’s break it down 👇
🔎 How France Classifies Crypto
- Crypto is classified as a digital asset (actifs numériques).
- Gains are taxed under special rules depending on whether you’re:
- An occasional investor (most people) → flat 30% tax.
- A professional trader → taxed as commercial income under progressive income tax (up to 45% + social charges).
💰 The Flat Tax (PFU – 30%)
- Applies to most individuals.
- 30% = 12.8% income tax + 17.2% social contributions (prélèvements sociaux).
- Only disposals are taxed:
- 💵 Selling crypto for euros or other fiat.
- 🔄 Swapping crypto → fiat conversion.
- 🛒 Using crypto to pay for goods/services.
👉 Important: Swapping one crypto for another (e.g., BTC → ETH) is not taxable in France. Only when converted back to fiat or spent.
Example:
- Buy Bitcoin for €10,000.
- Sell for €25,000.
- Gain = €15,000.
- Tax = €4,500 (30% PFU).
🧾 Professional Traders
- If trading is frequent and organized, the tax office may classify you as a professional trader.
- In that case, gains are taxed as BIC (bénéfices industriels et commerciaux):
- Progressive income tax (0–45%)
- Plus 17.2% social charges
- No flat 30% option here.
🎨 NFTs, Mining, Staking & DeFi
- NFTs – sales usually fall under the same 30% PFU regime. If you’re creating/selling NFTs professionally, taxed as BNC (non-commercial income) at progressive rates.
- Mining – always treated as professional activity → taxable as BIC (business income).
- Staking/DeFi rewards – taxed as income when received, then CGT (30% PFU) on disposal of those rewards.
📉 Losses
- Capital losses can offset capital gains on crypto disposals.
- Losses cannot offset other income (like employment).
- Unused losses can be carried forward up to 10 years.
🕵️ Enforcement in 2025
- French tax authorities receive data from exchanges under EU directives.
- France is part of the OECD’s new Crypto-Asset Reporting Framework (CARF).
- Penalties for undeclared crypto income:
- 10%–80% surcharge depending on intent.
- Late payment interest (0.20%/month).
🛠️ Compliance Checklist
- Report crypto gains/losses annually (Form 2086 for digital assets).
- Track all fiat conversions (crypto-to-crypto swaps are exempt but must be recorded).
- Declare foreign accounts (including crypto exchanges) on Form 3916-BIS.
- Separate personal occasional activity from professional trading.
✅ Key Takeaways (France)
- Occasional investors → flat 30% PFU tax on fiat disposals.
- Crypto-to-crypto swaps = not taxable 🙌.
- Professional traders, miners, stakers → taxed as income (progressive rates).
- Losses can offset future gains (10 years carry-forward).
- France is tightening reporting in 2025 — don’t skip declarations.