Cryptocurrency mining will be taxed as non-commercial profits in France, and professional income will be taxed as industrial and commercial profits. In all other cases, cryptocurrency-related financial operations will now have a flat tax rate of 19% instead of previously-imposed 45%.
The news will undoubtedly stir up the local digital currency market. This event might be indirectly connected with President Emmanuel Macron’s economic reforms and the subsequent rise of interest of French lawmakers in the corresponding issues.
France’s economy minister Bruno Le Maire was the one who initiated the pre-talks and the following discussion regarding international cryptocurrency regulations at the G20 summit held in Buenos Aires in March this year. This indicates that this country’s position on cryptocurrency should not be underestimated, as it was supported by the vast majority of key world leaders.
The decrease of cryptocurrency-related taxes was the problem Australia also had to deal with last year: double taxation has finally been cancelled after many complaints coming from crypto businesspersons and even the members of the local parliament.
Image courtesy of Depositphotos