France introduces citizenship-based taxation

[JohnnyDoe]

Amendment I-CF380 to the National Budget of 2026 introduces a “targeted universal tax". It applies to French nationals earning more than five times the annual social security ceiling (roughly €235,500 in 2025) who relocate to countries where income tax rates are at least 40% lower than those in France.

The proposal, submitted on October 17 by Finance Committee chair Éric Coquerel and about 70 co-sponsors from La France Insoumise, specifically aims at individuals who have resided in France for at least three of the ten years preceding their change of tax domicile.
It has been adopted on October 20.

Full text: https://www.assemblee-nationale.fr/dyn/17/amendements/1906A/CION_FIN/CF380.pdf

 

[marioIT]

get out while you can and get a second passport asap.
even Depardieu saw it coming more than 10 years ago,

Gerard Depardieu meets Putin, receives Russian passport

Actor Gerard Depardieu is handed his new Russian passport after meeting President Vladimir Putin, and is invited to set up home in the region of Mordovia.

www.bbc.com

I always saw France this way. This confirms it... weird country 😀

 

[CEO]

get out while you can and get a second passport asap.
even Depardieu saw it coming more than 10 years ago,

Gerard Depardieu meets Putin, receives Russian passport

Actor Gerard Depardieu is handed his new Russian passport after meeting President Vladimir Putin, and is invited to set up home in the region of Mordovia.

www.bbc.com

I always saw France this way. This confirms it... weird country 😀

View attachment 187

Please Launch MarioPedia for news and investigations 🤣

 

[Fiscal]

"The Dutch House of Representatives passed a motion on October 8 calling for the government to explore measures to combat tax avoidance, including a potential exit tax for emigrants." (Oct 8. 2024)

Source

Now, this is merely a motion in the House of Representatives, and active legislation still needs to be created. I think it's inevitable that this will happen, especially now that liberal parties have gained ground after elections yesterday and are going to be actively participating in the cabinet. I expect implementation within a few years.

 

[Justit]

get out while you can and get a second passport asap.
even Depardieu saw it coming more than 10 years ago,

Gerard Depardieu meets Putin, receives Russian passport

Actor Gerard Depardieu is handed his new Russian passport after meeting President Vladimir Putin, and is invited to set up home in the region of Mordovia.

www.bbc.com

I always saw France this way. This confirms it... weird country 😀

View attachment 187

What bothers me about a second-passport-by-investment option is that the status isn’t unconditional — it can be revoked fairly easily. For example, it may be withdrawn “for criminal activity” — but that phrase is so vague it could be applied to almost anything, if the issuing country decides it wants to.

In fact, there was even talk of Gérard Depardieu’s Russia passport being revoked —
A member of Russia’s State Duma, Nina Ostanina, stated in March 2025 that actor Gérard Depardieu, who has been convicted of harassment, should not remain a citizen of the country. She added: “Unfortunately, we don’t have a provision for revoking citizenship for sexual offenses. But in my opinion, this person should not be a citizen of Russia.”

 

[marioIT]

as if this wasn't enough, France Advances Tax Proposal Targeting Crypto as “Unproductive Wealth”

Source: France National Assembly

These include luxury goods such as yachts, private jets, jewelry, collectible art, and, for the first time, digital assets like Bitcoin and other cryptocurrencies.

The amendment raises the tax threshold from €1.3 million to €2 million and replaces the current progressive rates (0.5% to 1.5%) with a flat rate of 1% on the portion of net assets exceeding that threshold.
The tax would apply to individuals with net assets exceeding €2 million, including unrealized crypto gains, at a 1% rate.
Investors must report all holdings, including foreign wallets, to avoid penalties.

According to the proposal, the reform aims to encourage investment in assets that directly contribute to economic activity while discouraging the accumulation of wealth in assets deemed “unproductive.”

“Gold, coins, classic cars, yachts, and works of art are excluded from the current tax base, yet they represent forms of wealth that do not create jobs or innovation,” Mattei wrote in his summary. “This reform corrects that inconsistency.”


The measure would also affect taxpayers holding crypto that has appreciated in value but has not been sold, raising concerns it could effectively tax unrealized gains.

It's a proposal, will it Pass the Senate Vote?

https://finance.yahoo.com/news/france-advances-tax-proposal-targeting-125428218.html

 

[Rick]

"The Dutch House of Representatives passed a motion on October 8 calling for the government to explore measures to combat tax avoidance, including a potential exit tax for emigrants." (Oct 8. 2024)

Source

Now, this is merely a motion in the House of Representatives, and active legislation still needs to be created. I think it's inevitable that this will happen, especially now that liberal parties have gained ground after elections yesterday and are going to be actively participating in the cabinet. I expect implementation within a few years.

Will never happen, in this case you can just "migrate" to a friendly EU country (e.g. Malta / Cyprus even if just on paper) and after 7 years they cant do sh*t AFAIK. It would be funny if they would try to tax citizens in another EU country who have full citizenship there.

 

[Marty McFly]

Will never happen,

I wouldn’t be so sure… worse things are happening right now.

in this case you can just "migrate" to a friendly EU country (e.g. Malta / Cyprus even if just on paper) and after 7 years they cant do sh*t AFAIK. It would be funny if they would try to tax citizens in another EU country who have full citizenship there.

Every Eu country is the same, there are no “friendly” EU countries. Don’t think that moving to a shithole like Malta or Cyprus can make your life any better. These places count nothing, and are inhabited by primitives who will bend over to their masters for a peanut.
If France wants to tax its citizens/residents/former residents, be assured it will find a way to do so. The only way to avoid this is to escape from the EU (until you can) and make your assets unreachable.

 

[Rick]

Thats not what I said only that the country you originate from then cannot touch you (free movement of people in EU)

 

[JohnnyDoe]

Thats not what I said only that the country you originate from then cannot touch you (free movement of people in EU)

Don't trust any EU country. Don't trust the ink on paper called "law". They want your money, your belongings, your freedom, and you can keep them only if you make them unreachable. This can't happen within the EU.

 

[NewHorizonsParaguay]

They did a nice thing here as well, in cooperation with Beduins.

Tax treaty:

https://www.impots.gouv.fr/sites/de...tion-avec-les-emirats-arabes-unis_fd_2138.pdf

19.2

"2. Where a person who is a resident of the United Arab Emirates or is established therein is fiscally domiciled in France within the meaning of French domestic law or is a subsidiary controlled directly or indirectly by more than 50 per cent by a company whose place of management is in France, the income of that person shall be taxable in France notwithstanding any other provision of this Convention."

 

[NewHorizonsParaguay]

Imagine spending 365 days in a desert shithole to not pay taxes in France, to realize you still have to pay them.

 

[JohnnyDoe]

Imagine spending 365 days in a desert shithole to not pay taxes in France, to realize you still have to pay them.

“But there is no extradition”
“Habibi, your visa is revoked and your accounts frozen”

 

[marioIT]

Imagine spending 365 days in a desert shithole to not pay taxes in France, to realize you still have to pay them.

man let say you and your company are deemed fiscally resident in france for all the years you were "based" in dubai...
they will hammer you with taxes and fines and social security etc... and let's say you'll pay those somehow to avoid jail (if possible...)
but you are so pissed now about france, almost broke, and you want to leave... otherwise you'll have to pay french taxes from now on both personal and corporate...

and here it comes the crazy thing:
- what if they find a way to apply the exit tax on you on your next move, even if you were actually in dubai in your previous years, but you were deemed fiscally resident in france, so?

the exit tax applies when you are moving your residence for tax purposes outside France

but you were deemed resident... so it's like you never fiscally left France?
so the next time you move away:

you are, under certain conditions, liable for income tax and social levies connected with unrealised capital gains

This affects your situation if you were a resident of France for tax purposes for at least six years out of the previous ten

you were deemed resident so let's say it fits, it's like you never moved away from france

prior to the transfer of your residence abroad and if you own stocks or shares whose value is equal to or greater than €800,000 or represents at least 50% of a company's corporate profits.

you own 100% of "dubai" (now deemed french) company,
guess what:
they'll find a way to make you pay taxes AGAIN on ALREADY taxed earnings... the next time you move your residence out of france, like all those years in dubai never existed 😵
ok it's a worst case scenario... but still crazy stuff that could happen!
It's a trap, wake up! 🤣

France's Exit Tax: The Hidden Costs of Saying Au Revoir

As high-net-worth individuals increasingly seek citizenship alternatives, this controversial measure stands as a stark reminder of how nation-states attempt to maintain their grip on citizens' wealth.

citizenx.com

The Mechanics: Taxing the Unrealized
The French exit tax essentially creates a 'virtual sale' of your assets on the day you leave. The French tax authorities treat this theoretical disposition as a taxable event, even though no actual transaction has occurred.