French lawmakers amended the budget for 2019, which will reduce the tax on income from the sale of cryptocurrency from 36.2% to 30%.
After changing cryptocurrency tax rate equal with the rate of the property assets. So decided the financial Commission of the National Assembly, the lower house of the French Parliament. However, to the amendments entered into force, the entire budget must be approved by the Senate, the upper house of Parliament. If all goes without reservations since January, French citizens will begin to pay the new tax.
Rate on the income from the sale of cryptocurrencies in France changed more than once. Until April this year, it could reach 45% for taxpayers with a higher standard. However, the French Council of State reviewed the classification and determined the profit from the cryptocurrency as a capital gain chattels, which significantly reduced tax rate. However, the earnings from mining is still regarded as non-commercial profits and income obtained as a result of professional activities, which may be taxed at a higher rate.
It should be noted that the policy of President Emmanuel Macron aims to provide businesses, including cryptocurrency, the most favorable conditions. So at the beginning of the year, the President presented a Plan of measures for economic growth and transformation of companies (PACTE), which later, in September, was included in the regulations of the primary distribution of coins (ICO) in the country. According to this regulation the control of ICO-projects is carried out by the Supervisory authority for the financial markets of France. Moreover, the placement of the coins have the right to conduct only those companies, which provide specific guarantees to investors. Projects are also required to provide all the information Oversight office. All this is done in order to reduce the risks of loss of funds, money laundering and the financing of terrorism.
Recall that in June it became known about the opening of France’s first blockchain-up accelerator that supports startups in the field of cryptocurrency and distributed technology registry.