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France will reduce the tax on the sale of bitcoins

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According to the French news website, the lower house of the French parliament (Assemblée Nationale) supported a plan proposed by the financial commission that will effectively raise taxes on profits from bitcoins in the same way as other capital gains taxes in the country. Currently, bitcoin sales are taxed about 20 percent more than capital gains or sales of shares and other securities.

The bill is headed by Eriko Vert, Chairman of the Finance Committee. These changes will effectively reduce the tax rate from the sale of bitcoins from more than 36% to the standard 30%. However, for some French citizens this is not enough, as a result of which statements have been made that previous and proposed taxes hinder innovation.

In a recent interview, the representative of the French Treasury, Sebastian Raspiller, said:

Blockchain provides very promising areas for innovation, including in the financial sector, and France was one of the first countries that adapted their legal framework to explicitly allow the use of blockchains.

According to the French edition of Le Figaro, the tax will be applied not only to direct sales of bitcoin, but also to the use of bitcoin as a means of payment, for example, when paying for services or things.

The tax cut plan must go through a general legislative session and be included in the 2019 budget to become official, but this is in line with other actions by the French government to try to create a more friendly regulatory environment for the cryptocurrency market.