PokerCollectif recently spoke you of the possibility that either taxed in France poker winnings. We we were also pronounced on this new in claiming that this is a nonsense given that in France, the gains related to gambling (in France, the poker is legally seen as a game of chance) are not taxable. By a tower of sleight, legislators wanted to impose "regular" gains from the games of chance, i.e., a "lose-lose" for the player and "win - win" for the State situation.
Last Friday, this proposal has been postponed to September, which is a half of good news.
The Member who submitted the amendment, Aurélie Filippetti, had this to say:
"I would like that it stops a moment, despite the late hour, on this amendment aimed at taxing income from poker for professional players. Today, the proceeds of games of chance is not considered to be expressly exempt income tax within the meaning of article 168 of the general tax code. Gains, in principle, are not taxable but otherwise if the bettor is able to influence the outcome of his speculations [Editor's Note: this is not the so-called skills?]. Furthermore, by application of a recent jurisprudence of the administrative tribunal of Clermont-Ferrand on the bridge, the professional poker-related gains should be taxable.
We are witnessing an explosion of the number of players online - 3 million, of which an important part of poker players. Among these, several hundred are professionals, i.e. they derive the bulk of their income, if not all, of the poker, with huge payouts, which can reach tens of thousands of euros per year. For the sake of tax justice, it would be normal that these gains should be taxed in respect of the income tax."
Madam Filippetti goes on to explain what is for her 'regular earnings':
"How to define their professional character? A beam of indices: regular gains resulting from a usual participation and which are not exclusively based on random, what allows to exclude the lottery, casinos. Poker is indeed a practice that requires some experience through which professional players can reduce the hazard inherent in the game [NDR: could someone explain clear that is what "the hazard inherent in the game"?] and optimize their revenue in the long term. Over one year, a professional poker player lose money but to win [NDR: more up to the talking about gambling and now we are talking skills]. Once this hazard is greatly reduced, it is legitimate to submit earnings to the income tax."
In conclusion, the general rapporteur, Mr Gilles Carrez says;"Unfavourable opinion insofar as Jean-François Lamour and Aurélie Filippetti presented us an excellent report on the first month for the implementation of the law on games online, which it was clear that if tax adjustments were needed, they would be returned in the fall, once their work is complete."
Still no idea if poker winnings will be taxed in France in a few months, but for now the project is on ice. PokerCollectif will keep you informed of any development in this case as and when that information will be known.
In the meantime, discuss this news on PokerCollectif forums: France: amendment to impose poker players pushed