France's flat tax on crypto: 31.4% and a portfolio-wide gain formula

French individuals pay a flat tax, now 31.4%, on crypto cashed out, using a whole-portfolio cost formula. Habitual traders are taxed differently.

2026-10-17 · 6 min read

For French-resident individuals, crypto is taxed when it is turned into euros or spent, not when it is swapped for other crypto, and the gain is worked out across the whole portfolio rather than coin by coin. From 2026 the headline flat rate is 31.4%, up from 30%, because of a rise in social contributions.

Who this regime covers

Article 150 VH bis of the General Tax Code sets a special regime for occasional disposals of digital assets by individuals [5]. People whose trading is habitual are outside it: since 1 January 2023 their gains are taxed as non-commercial profits (BNC) where the operations are carried out in conditions similar to those of a professional [4]. Mining income also falls under BNC [5]. Companies are taxed under different corporate rules not covered here.

There is no bright-line test for habitual trading. The administration looks at the facts case by case, including how often the person buys and sells, how long they hold, the volumes involved, how the assets were acquired, and how the activity compares with their professional income [4].

What triggers tax

Under the occasional regime, tax arises when crypto is exchanged for legal tender or used to obtain a good, service or other advantage [5]. Exchanges of one digital asset for another without a cash adjustment (soulte) are deferred and do not have to be declared [1]. Disposals are exempt if their total for the year does not exceed €305 [1].

The rate in 2026

The flat rate has two parts: 12.8% income tax and social contributions [1]. The 2026 social security financing law raised the CSG component, taking social contributions from 17.2% to 18.6% and the total from 30% to 31.4%; a tax reference service lists crypto gains at 31.4% [3]. A consumer guide notes that crypto gains are treated as patrimony income, for which the higher rate applies to income from 2025 onward, meaning 2025 gains declared in 2026 [6]. The administration's own commentary page on the regime still shows the older 30% figure, so check the rate printed on your return [1].

Since 2023 an individual can instead opt to have these gains taxed at the progressive income tax scale. The option is made expressly on the return, applies to all eligible gains for that year, and cannot be revoked once the filing deadline passes [1].

The portfolio-wide formula

France does not use FIFO or per-coin cost. For each taxable disposal, the gain equals the sale price minus a share of the total acquisition price of the whole portfolio, that share being the sale price divided by the portfolio's total value at the moment of the sale [2]. The portfolio value includes every digital asset the household holds, on every platform and wallet, valued in euros at the time of the sale [2].

After each taxable disposal, the total acquisition price is reduced by the cost fraction just used, so the same cost cannot be deducted twice [2]. New purchases in euros add to it. Documented sale costs, such as platform fees, reduce the sale price [2].

Two consequences follow. First, a sale can produce a gain even if the particular coin sold has fallen, because the formula looks at the whole portfolio. Second, it needs a valuation of everything you hold at each taxable sale, so a reliable price source and a complete wallet list matter as much as the trade itself. The administration expects valuations from commonly available sources quoting daily averages on major exchanges [2].

Reporting

Taxable disposals are listed in an annex to the income tax return, with sale prices, acquisition costs and the gain or loss for each and for the year [1]. Accounts held with platforms abroad must also be declared, with a penalty of €750 per undeclared account, or €1,500 where the value exceeds €50,000 [1].

What to do

• Decide, with an adviser, whether activity is occasional or habitual; the answer changes the whole regime.
• Keep a running total acquisition price for the portfolio and update it after every taxable sale.
• At each sale to euros or spend, capture the euro value of every holding, across all wallets and platforms.
• Keep swap records even though swaps are not declared, since they support later portfolio values.
• Check the 2026 rate and whether opting for the progressive scale is better for the household.
• List foreign exchange accounts on the return to avoid per-account penalties.

Sources

1. BOI-RPPM-PVBMC-30-30 — Cession d'actifs numériques à titre occasionnel (imposition et obligations déclaratives) (Direction générale des Finances publiques (BOFiP-Impôts))
2. BOI-RPPM-PVBMC-30-20 — Cession d'actifs numériques à titre occasionnel - Base d'imposition (Direction générale des Finances publiques (BOFiP-Impôts))
3. Flat tax (PFU) : champ d'application et taux applicables en 2026 (Legifiscal)
4. LF 2022 - Fiscalité des actifs numériques (KPMG Avocats)
5. ACTU-2019-00174 — Création d'un régime fiscal spécifique applicable aux cessions d'actifs numériques réalisées à titre occasionnel (Direction générale des Finances publiques (BOFiP-Impôts))
6. Hausse de la CSG : vos revenus sont-ils concernés ? (UFC-Que Choisir)

General information for finance teams, current as of publication. Not legal, tax or accounting advice.

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