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Freelancers: Who declare meagre incomes – 6 out of 10 bar and hair salon owners show losses

Losses or meagre incomes are being reported by the majority of freelancers, according to an analysis of their tax return data.

Based on the official figures, the owners of bars and hair salons reported the lowest incomes, followed by restaurant owners and those who own car repair shops. In fact, the hairdressers declared revenues of 358 euros per month (less than the unemployment benefit).

The situation seems to be better for taxi drivers, dentists and plumbers, but they also reported an income of less than 1,000 euros per month.

However, several freelancers have been affected by the new presumed income taxation method, implemented this year by the Ministry of National Economy and Finance, with the aim of avoiding similar phenomena.

More specifically:

  • Only 40% of bar owners reported profits. In particular, they declared an average monthly income of 1,154 euros, which corresponds to an average tax of 1,348 euros, if the presumed income system did not exist.
  • Only 53% of restaurant owners reported profits. Specifically, they declared a monthly net income of 1,277 euros, which corresponds to an average tax of 3,068 euros.
  • Only 40% of hair salon owners reported profits. They declared a monthly net income of 358 euros (less than the unemployment benefit), which corresponds to an average tax of 654 euros.
  • Only 53% of car repair store owners reported profits. In particular, they declared an average monthly income of 665 euros, which corresponds to an average tax of 1,295 euros.
  • 57% of vets reported profits. Specifically, they declared an average monthly income of 885 euros, which corresponds to an average tax of 1,880 euros.
  • 70% of plumbers reported profits. They declared an average monthly income of 800 euros, which corresponds to an average tax of 1,553 euros.
  • 73% of dentists reported profits. They declared an average monthly income of 903 euros, which corresponds to an average tax of 1,719 euros.
  • 76% of taxi drivers reported profits. They declared an average monthly income of 545 euros, which corresponds to an average tax of 810 euros.