What tax on collectible cards?
In France, the resale of collectible cards carried out by an individual in principle falls under the tax regime for tangible movable property, that is to say ordinary consumer goods. The tax authorities recently clarified that collectible cards, even rare ones like vintage Pokémon, are generally not considered collectibles in the strict sense of tax law.
If you sell a collectible card as part of an occasional sale, the capital gain realized, that is to say the difference between the sale price and the purchase price, may be taxable under certain conditions:
- Total exemption if the transaction is less than €5,000.
- Flat-rate tax of 36.2% beyond this threshold, calculated on the capital gain:
- 19% for income tax
- 17.2% for social security contributions.
This regime applies because most maps do not meet the strict criteria that qualify an object as “collectible” (historical, ethnographic interest, etc.), despite their popularity and valuation on the market.
Which cards are affected?
Technically, all physical collectible game cards, whether Pokémon, Magic: The Gathering, Yu-Gi-Oh or even Panini sports cards, fall within the scope of this tax when they are sold for valuable consideration.
But the rule remains complex:
- Some extremely rare or first edition cards may be examined on a case-by-case basis to be considered genuine. collectibles by the tax authorities, which may result in a different tax regime. In this case, other rules apply (specific flat rate tax).
- Digital cards (NFT) follow a separate tax system, close to that of cryptocurrencies, but this regime does not concern traditional paper cards.
In practice, the administration assumes that the vast majority of collectible cards are not collectibles within the meaning of the tax code, even if their market value may be high.
At what amount should we declare them?
As indicated previously, in the event of an occasional sale, the tax exemption is total if the sale of the cards is less than €5,000 per transaction. Beyond that, the added value must be declared.
If the cards fall into the collectible category, this same limit applies. The seller is liable for a flat-rate tax of 6% of the price, to which is added the CRDS of 0.5%.
If card sales are usual and you regularly carry out purchasing and reselling of collectible cards, the tax administration will consider that you are carrying out a commercial activity.
You are then required to declare this activity from the first euro collected. The micro-enterprise status allows you to carry out this activity.
Should we only declare cards sold during the year?
The tax administration is interested, in a first phase, in sales made during the current tax year. Concretely:
- If you sold your cards during calendar year N, your reporting obligation covers this period.
- Only transactions exceeding €5,000 per unit in principle trigger an obligation to declare capital gains tax.
If your operations become regular or commercial (purchases for resale, large volumes, high frequency), the administration can reclassify your activity as a professional activity. In this case, you must register (micro-enterprise, BIC, etc.) and declare your income in your annual income tax return as industrial and commercial profits.
When and how to declare them?
If you make a taxable sale above €5,000, the general rule is to declare the capital gain made in the month following the sale.
To declare the capital gain on the sale of movable property, you must generally use the appropriate tax form (form no. 2048-M-SD) available on the official website of the Ministry of the Economy or Taxes.
On your personal income tax return, this capital gain can also be reported in the box provided for this purpose (box 3VZ or equivalent depending on the tax year).
In case of doubt or significant value of the cards transferred, it may be useful to seek assistance from a tax advisor or an accountant to avoid declaration errors or subsequent adjustments.
