France is undoubtedly one of the European countries at the forefront of cryptocurrency adoption, integration, and legalization, thanks to a business-friendly government under new president Emmanuel Macron. Surprisingly, his plan also includes a provision for crypto-related ventures. He acknowledges digital currency and the technology that underpins it.
Cryptocurrency traders in France are expected to start enjoying a lesser tax burden from early next year. The country’s legislators plan to pass an amendment bill that will induce a lower tax rate.
Reuters reported that lawmakers in the lower house of parliament in Paris had adopted an amendment to the next budget bill that will cut capital gains tax on cryptocurrency sales to 30% from 36%. The same rate applies to many other financial commodities in the country.
Even so, it is still too early to start celebrating because members of parliament in both the lower and the upper house need to approve it. The MPs will discuss the proposed amendments in the next few days. If passed, the proposed rate will come into effect on the 1st of January 2019.
This is the latest in a series of policy decisions taken by the Emmanuel Macron administration to create a legal, regulatory framework for blockchain startups.
Business Growth and Transformation bill
Early this year, president Macron promised that he’d improve the regulatory and legal climate to foster the growth of businesses in the country. Therefore, he introduced the Business Growth and Transformation bill (PACTE). The bill makes it easy for companies to operate in France. Also it is the most progressive legal framework dedicated to the token sales.
The PACTE was adopted at first reading by the parliament on OCT. 9. The Senate is expected to examine it around early next year.
France is one of Europe’s biggest economies that are transforming into a haven for crypto coins.