You use Vinted to sell the clothes you keep in your closet and no longer use and to earn some money, but you wonder what to do with the income obtained for tax purposes?
If you've been using Vinted for a while, you may have noticed that your sales revenue for the year 2020 has been sent directly to the tax office.
In fact, as of January 1, 2019, a new law requires Vinted to report all kinds of information to the tax authorities.
So, in order to know everything you need to know about Vinted and taxes and to avoid any problems in the future, we recommend you to read this article which is a real complete guide and will answer all the questions you have.
Are sales on Vinted taxable?
The question that almost every Vinted user asks at some point is: Am I taxable on my sales? There are several situations in which you will be obliged to declare your sales to the tax authorities and you may be taxable.
First of all, in order for your sales on Vinted to be taxable, your revenues on the platform must have exceeded the total amount of €3000 over a period of one year. If your sales have only brought in a few hundred euros and do not exceed this amount, you will not be taxable since this activity is considered occasional and non-professional.
On the other hand, if you have actually earned more than 3000 € in one year on Vinted, you will be taxed on the totality of the income earned during this period. The tax authorities consider that at this stage, your activity on Vinted has become more than occasional and therefore you must declare it.
There is another reason why you may be taxed on your Vinted winnings: if you have made more than 20 trades in a year.
In this case, even if you have earned less than 3000 €, you will still be taxed on the total amount earned during the year.
To give you a more concrete example, if in the same year you have sold 21 items on Vinted at 1 € each, earning a total of 21 €, even if this amount is derisory, you will have to declare it to the taxes.
On the same principle, if you have sold 3002 € worth of clothes or other items on Vinted, in the same year, you are obliged to declare this amount to the tax authorities.
Moreover, if you sell on Vinted as a professional (company, self-employed), even if you have not reached this amount within the time period indicated, or if you have made less than 20 sales, your income on the platform must be declared and will in any case be taxable.
Declaring my Vinted income to the tax authorities
If you are not taxable on the items you have sold on Vinted, you must surely think that there is no reason to communicate this income to the tax authorities. Well, you don't have to, but the administration will still have access to all this information about you.
Are you wondering how this is possible? As we mentioned above, platforms such as Vinted are now required by law to report your earnings to the French tax authorities.
According to article 242 bis of the French General Tax Code, which was amended by the law of October 23, 2018 Vinted provides the tax authorities with the following information about you:
- Your complete identity.
- The number of annual sales you have made on the platform.
- Your total annual revenue on the platform.
- The banking information associated with your Vinted account.
- Any other information considered necessary or important.
Vinted's staff is normally required to send you this information as well and to inform you when it is reported to the tax authorities. However, if you have not received an email or any of this information from Vinted, you can find your annual report quite easily in your Vinted account and download it.
My Vinted income on my tax return
Now that the entire tax administration system is working and has been operational since 2021 and, as we have explained to you, Vinted transmits your information without you having to do so, since the law obliges it to do so, you have nothing more to indicate on your tax return about Vinted.
Don't panic just yet, in April, when you see your Vinted earnings appear on this. As we said, if your income on the site has not exceeded €3000 or if you have not exceeded 20 transactions, you will not be taxed on it anyway.
Also, being taxable on your Vinted income does not necessarily mean that you will end up paying taxes directly on that amount. There are many other parameters to take into account.
If you have a large quantity of items in your Vinted dressing room and plan to sell as many as possible through the platform, we advise you to be careful and take into account everything we have explained in this article.
Make it a habit to keep track of how much revenue you've earned in a year on Vinted, as well as how many sales you've made so you won't be surprised when April rolls around.
We even recommend that you print and keep your annual balance sheet from your Vinted account each year. That way, you'll have a summary of all this information at hand when it's time to file your taxes.
You can also, if you wish, keep a small account book in which you will note all transactions made on Vinted.