This is the moment cryptocurrency holders dread. All French people who hold cryptoassets will have to declare all their gains to the government. As always, this step causes cold sweats among investors. Unsurprisingly, they fear being heavily taxed on their profits.
What does the law say about the taxation of cryptocurrencies in France?
In France, gains made with cryptocurrencies have been subject to a tax since January 1, 2018. This is called the flat tax. In short, the government charges a variable amount on all taxable transactions. A taxable transaction refers to the conversion between a cryptocurrency, such as Bitcoin and Ether, and a fiat currency, namely the euro or the dollar in most cases. This conversion triggers a tax event. If you don't convert your cryptocurrencies, you are not subject to taxes. This is why some investors choose to keep their holdings in stablecoins. Indeed, the tax authorities do not tax gains made by converting cryptocurrencies into other cryptocurrencies.
Please note that purchasing goods with cryptocurrencies is taxable. If you buy anything with bitcoins or stablecoins, you will need to declare the transactions. These will be subject to the flat tax. This is the case if you pay for purchases with a bank card linked to a reserve of cryptocurrencies. In this case, all purchases trigger the conversion between digital assets and euros.
How do you calculate your tax amount?
The amount of the flat tax depends on the investor category you fall into. If you are considered a retail investor, the government will levy a tax of 12.8% (excluding social security contributions) on all your profits. In addition, you will have to pay 17.2% in social security contributions. Ultimately, 30% of your gains are due. The capital gains amount is calculated by comparing the sale price of a crypto asset with the full valuation of your portfolio. As the Ministry of Economy and Finance explains, "this is a flat rate because it does not take into account your tax bracket." Note that if your annual capital gains do not exceed €305 when converted into euros, the government will not levy taxes on the gains.
Note that the tax amount is likely to be revised upwards if the government determines that you are a professional. You will be taxed according to a progressive scale in the BNC (non-commercial profits) category, applicable to individuals exercising a non-commercial profession. Income tax increases proportionally to your earnings. Thus, the higher your income, the higher the taxes you will have to pay. Since 2023, only investors who use professional tools or techniques are classified in the professional category. This is generally the case for traders.
If you carry out taxable transactions with the aim of increasing your private assets, you will be considered a private investor by default. However, "taxpayers can opt to apply the progressive income tax scale instead of the flat rate of 12.8%", explains the tax website. It is sometimes more advantageous to opt for this regime, especially if your annual income is not high.
The progressive scale depends on the amount of your income. If your earnings are less than €10,777, you won't have to pay taxes on your earnings. You'll only have to pay social security contributions, which amount to 17.2%. This is therefore more attractive than the individual tax regime, which results in the loss of 30% of your earnings. If your income is between €10,778 and €27,478, you'll have to pay 11% in taxes. Above this amount of annual income, it's more attractive to be considered a private investor.
Do I have to declare all my crypto accounts?
Furthermore, all French citizens who hold cryptocurrencies on a foreign platform, such as Binance, Crypto.com, or Coinbase, must declare their account. Tax law requires all taxpayers to inform the government of all foreign "digital asset accounts." This obligation applies to accounts opened, closed, or operated during the year with companies domiciled outside France. You must declare this account to the French tax authorities using form 3916-3916-BIS. If you have an account with French companies such as Coinhouse or Deblock, this does not apply to you. These companies are registered with the Autorité des Marchés Financiers (AMF). In this case, the entity will automatically notify the tax authorities of the existence of the account.
If the platform has managed to obtain the coveted PSAN (digital asset service provider) status from the French Financial Markets Authority (AMF), you must also declare your account using Cerfa form no. 3916-bis. It will be essential to provide several details about the platform, such as the name and address, as well as the specifics of the account, particularly whether it is used for personal or professional purposes. Among the platforms concerned are the essential Binance or Coinbase.
If you forget, you risk a fine of €750 per undeclared account. In the scenario where the value of your account exceeds €50,000 during the year, the fine could reach €1,500 or even €250. This is also the case for accounts opened with a neobank, such as Revolut or N26.
On the other hand, it is not necessary to declare cryptocurrencies stored in "non-custodial" wallets, which allow you to hold your private keys, such as Ledger, Metamask or Green from Blockstream.
When should you declare your cryptocurrencies in France?
France launched the online declaration portal, accessible on the official website impots.gouv.fr, at the beginning of April 2025. Depending on your department of residence and the chosen medium, you have more or less time to complete the declaration:
- Departments 01 to 19 and non-residents: deadline Thursday, May 22, 2025
- Departments 20 to 54: Deadline Wednesday, May 28, 2025
- Departments 55 to 976: Deadline Thursday, June 5, 2025
For declarations sent by mail, the deadline is Tuesday, May 20, 2025, the postmark being proof. However, "all taxpayers must declare online, unless they are unable to do so", reminds the tax authorities. We recommend that you declare everything on time to avoid an increase.
Special cases: mining, NFTs, and staking
In the world of cryptocurrencies, it is possible to earn money in different ways. Instead of investing and converting digital assets, you can choose to mine your cryptocurrencies directly. If this is your case, the tax authorities will automatically consider you a professional. You will be subject to the progressive scale for non-commercial profits. This is also the case for crypto holders who generate profits through staking. If these profits are converted into euros, they will be taxable under the progressive scale.
For the moment, non-fungible tokens (NFTs) are considered cryptocurrencies. In other words, you will have to pay the flat tax if you sell a digital work for fiat currencies. Generally, an NFT is exchanged for cryptocurrencies, which is not directly taxable.
How to declare your cryptocurrencies in France?
First, we invite you to declare all your crypto accounts abroad. To do this, you must complete form 3916-BIS. The information requested is as follows: identity, account number, type of account (professional or personal), creation date, name and official designation of the exchange. The tax authorities also ask you to provide the address of the platform. To make things easier for you, we have listed the tax addresses of the main platforms on the market:
- Binance: Level G (Office 1/1235) Quantum House, 75 Abate Rigord Street, Ta’ Xbiex XBX 1120, Malta
- Bitpanda: Stella-Klein-Löw Weg 17, 1020 Vienna, Austria
- Coinbase: 70 Sir John Rogerson’s Quay, Dublin D02 R296, Ireland
- Crypto.com: Foris DAX MT Limited/Level 7, Spinola Park, Triq Mikiel Ang Borg, St Julian’s SPK 1000, Malta
- eToro: 4 Profiti Ilia Street, Kanika International Business Center (KIBC) 7th Floor, Germasogeia 4046, Limassol, Cyprus
Thereafter, you will have to declare all taxable transactions by through form No. 2086. For each transaction during the financial year, be sure to provide the capital gains realized, the conversion date, the price of the assets, and any fees. The process can be long and tedious. Note that taxpayers have the right to make mistakes since the ESSOC law of 2018. In the event of an oversight or error in a tax return, it is possible to correct it without paying a fine. However, late payment interest may be charged by the administration. You must then send a revised tax return to the tax authorities.
If you carried out numerous transactions in 2024, don't hesitate to seek expert help. To make things easier, you can also export your transaction history from the exchange platform you use. Most exchanges allow you to obtain a summary of all the transactions made. This is the case of Binance, from Coinbase or more from Bitpanda.
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