Are you a professional trader or art dealer? Or a “bitcoin miner”, i.e. you electronically approve and process transactions in exchange for bitcoins?
The repetition or intensity of the operations may lead to taxation either as miscellaneous income (see point 1.1.3. above) or as professional income.
These vary between 25 and 50% (excluding municipal taxes):
25% for the income bracket from 0.01 euros to 13,540 euros (indexed amount);
40% for the range from 13,540 euros (indexed amount) to 23,900 euros (indexed amount);
45% for the bracket from 23,900 euros (indexed amount) to 41,360 euros (indexed amount);
50% for the portion above 41,360 euros (indexed amount).
Thus, the use of the services of professionals of the sale in the sector of the art (auction rooms, art gallery, antique dealers…), as well as the installation of an organization supporting the sale under the best conditions (publicity…), can be retained like betraying the speculative intention or the professional organization.
If you are considered a professional trader or “art dealer”, it is also important that you meet the obligations of the self-employed. You will have to register with a social insurance fund and pay social security contributions. Social security contributions 2021 HERE.
Read: Do you have to declare profits on your bitcoins?
Note that declaring your art-related income as professional income also entitles you to deduct professional expenses:
Ҥ2. Sculpture teacher and sculptor: definition of professional activity and common expenses. The taxpayer declared that he was engaged in two activities, that of sculpture teacher and that of sculptor. The taxpayer has deducted the professional expenses that are sometimes common to his two activities. The administration contests this deduction on the grounds that the activity of sculptor is only a hobby.
The Court recalls that a professional activity requires a set of operations that are sufficiently frequent and linked to each other to constitute a continuous and usual occupation. It does not matter that only one statue was sold.
The assessment must cover all the operations carried out by the artist that are related to the production of his works and their sale, but also, as in this case, to their presentation to the public through exhibitions, participation in competitions, which have the effect of increasing the artist’s reputation, and the preparation of projects for possible commissions. The Tribunal recognizes the link between the activity of sculptor and that of teacher. It also noted that the absence of registration in the commercial register and the absence of affiliation to a social insurance fund for self-employed workers do not reveal the non-professional nature of the artistic activity. He concludes that the income from this activity has the nature of professional income.”
