French lawmakers have approved a proposal to tax gains on cryptocurrency swaps into certain stablecoins, while rejecting a separate measure that would have allowed crypto losses to be carried forward for a decade. The decisions came during the first reading of the 2027 finance bill on October 16, with the stablecoin tax provision passing by a narrow margin of 38 to 37, and the loss carryforward proposal failing 75 to 18.
The approved amendment, I-3898, targets swaps involving MiCA e-money tokens, which are crypto assets designed to maintain stable value by referencing an official currency. Under current French rules, crypto-to-crypto exchanges without cash settlements are tax-deferred, allowing investors to change exposure without immediate tax consequences. The new provision would remove this deferral for swaps into qualifying stablecoins, making gains taxable even if no euros are withdrawn.
The taxable event would be the swap itself, with gains calculated based on the difference between the acquisition cost and the current value, adjusted for documented fees. The proposal also introduces a weighted-average acquisition cost method for assets of the same kind purchased at different prices. For holdings prior to 2027, investors could use actual costs or allocate existing portfolio acquisition costs based on December 31 values.
The rejected amendment, I-3653, would have permitted unused crypto losses to be carried forward for ten years. Its defeat means the existing rule, allowing losses to offset gains only within the same tax year, remains in place. The final budget text will determine whether the stablecoin tax provision takes effect starting January 1, 2027.