French National Assembly Rejects 2027 France Budget, Sidelines Crypto Amendments

The French National Assembly voted to reject the revenue section of the 2027 state budget late Wednesday, a move that has significant implications for recent legislative proposals concerning digital assets. According to official voting records, the chamber rejected the revenue section by a margin of 458–0, with two abstentions. This development means that the government will now forward the original budget text to the Senate without the crypto-related amendments that had been previously incorporated by lawmakers. As the public continues to monitor the France budget news, the removal of these specific provisions marks a notable shift in the ongoing legislative process.

Prior to the rejection of the bill's revenue section, the National Assembly had successfully adopted three distinct amendments targeting the cryptocurrency sector. One of these proposals sought to make gains derived from crypto-to-stablecoin conversions subject to taxation. Another amendment aimed to mandate that taxpayers disclose holdings of self-custodied digital assets if they reached a value of at least 100,000 euros, with the threshold assessed annually on December 31. A third amendment proposed a substantial increase in penalties for crypto platforms, raising the potential fines from 10,000 euros to 50,000 euros for failing to provide information requested by tax authorities.

The rejection of the budget revenue section has removed several proposed crypto tax and reporting amendments.

Faustine Fleuret, the global head of public affairs at the lending protocol Morpho, had previously noted that the rejection of the revenue section could lead to the dismissal of the entire bill, including the amendments that had been adopted by lawmakers. With the current version of the budget now stripped of these specific crypto provisions, the focus shifts to the Senate. The Senate is scheduled to begin its debate on the finance bill on November 20, with an examination of the revenue section’s specific articles set for November 23.

Why it matters

While the crypto-related amendments have been sidelined for the moment, they are not necessarily dead. These proposals could be reintroduced during the Senate's review process. To become law, any such measures would need to survive the remainder of the budget legislative cycle.

This situation highlights the volatility of regulatory frameworks surrounding digital assets in France. For investors and platforms, the outcome of the Senate's upcoming deliberations will determine whether new tax burdens and reporting requirements for self-custodied holdings and stablecoin conversions will be implemented as part of the 2027 fiscal plan.