Taxation of funded-account income
What French law says about betting winnings, why prop firm income is different, and how much is left after tax depending on the framework. Indicative estimate, to be validated by a chartered accountant.
Starting point
Gambling winnings or business income?
Personal, occasional bets: not taxable
In France, an individual's gambling winnings are not subject to income tax, because they depend on chance. The tax authority may reclassify a bettor who makes it a regular, controlled activity as professional, which remains rare and is assessed case by case.
Funded account: a contractual remuneration
With a prop firm you do not stake your own money: the platform pays you a share of the profits generated on a simulated account, under a contract. That amount is not a gambling win, it is income from an independent activity. The generally accepted analysis is non-commercial profits (BNC), declared under micro-BNC or the actual regime, or through a company.
No specific doctrine
The French tax authority has not published a position specific to sports betting prop firms. One more reason to document your flows (contracts, payment statements) and have the treatment validated by a professional.
The three frameworks
Micro-BNC, actual BNC or company
Micro-BNC
To start, modest revenue
- 34% flat-rate allowance (minimum 305 €)
- Social contributions on revenue, paid to URSSAF
- Form 2042-C-PRO, revenue ledger only
- Revenue ceiling to watch
Simplicity, zero cost
Real expenses not deductible
Actual BNC (controlled declaration)
Significant expenses or ceiling exceeded
- Profit = revenue − actual expenses
- Self-employed social contributions on profit
- Bookkeeping and form 2035, often with an accountant
- Optional membership of an approved management body
Deductible expenses
Formalities and accounting cost
Company under corporate tax (SASU, EURL)
High amounts, wish to capitalise
- Corporate tax at 15% then 25%
- Choice between salary, dividends (30% flat tax) or retained earnings
- Full bookkeeping, filing of accounts
- Separation of personal assets
Optimisation and credibility
Fixed costs, social protection to organise
Simulator
Estimate what is left after tax
Two frameworks compared on the same revenue: micro-BNC (allowance, contributions, marginal income tax) and a company under corporate tax distributing everything as dividends. Simplified assumptions, no structure costs.
Micro-BNC
- Revenue
- 20 000 €
- Social contributions
- −5 220 €
- Taxable base (after allowance)
- 13 200 €
- Additional income tax
- −187 €
Estimated net
14 593 €
Total levies : 27,0 %
Company (100% dividends)
- Revenue
- 20 000 €
- Corporate tax
- −3 000 €
- Distributable dividends
- 17 000 €
- Flat tax
- −5 100 €
Estimated net
11 900 €
Total levies : 40,5 %
- Excludes structure costs (accountant, bank fees, incorporation) and any salary: to budget.
- Without a salary, no pension contributions or health cover through the company.
Transparency
Scales used and their dates
Every value in the simulator is listed here with its source. Rows marked 'to verify' change regularly.
Income tax scale (one share)
2025 scale (2024 income), to be updated every year
| Income fraction up to | Rate |
|---|---|
| 11 497 € | 0 % |
| 29 315 € | 11 % |
| 83 823 € | 30 % |
| 180 294 € | 41 % |
| beyond | 45 % |
FAQ
Frequently asked questions
Yes. They are not gambling winnings but a contractual remuneration paid by a company. They are business income and must be declared, generally as BNC or through a company.
Not for an individual betting occasionally with their own money: gambling winnings are not taxed in France. A regular, organised and profitable activity may however be reclassified by the tax authority, case by case.
There is no legal threshold. A company becomes worthwhile when amounts are high, when you have significant real expenses or when you want to capitalise rather than receive everything. The simulator gives an order of magnitude; the decision is made with a chartered accountant.
A micro-entrepreneur benefits from the VAT exemption below a revenue threshold. Above it, or through a company, the VAT question on this service must be examined with a professional, since the exact nature of the service paid by the platform may vary.
No. It uses public scales and simplified assumptions to give an order of magnitude. Your real situation (other income, expenses, status, year) may change the result.