14th October 2025
New Tax Guidance on Income and VAT Obligations for Social Media Influencers
Revenue has recently published an important Tax and Duty Manual (TDM) that provides detailed guidance on how income earned from online activities is taxed for both Income Tax and Corporation Tax purposes. The guidance specifically addresses individuals and businesses generating income from digital platforms, with a strong focus on Social Media Influencers.
The new manual explains that income generated through promotional activities, endorsements, and content creation is taxable, regardless of whether these activities are a primary or secondary source of income. This means that even casual earnings from posting or reviewing products can give rise to tax obligations. Profits derived from these activities fall under Schedule D, and both monetary payments and non-cash benefits, such as free goods or services received in exchange for promotion, must be accounted for at their fair market value.
A key aspect of the TDM is its emphasis on compliance. Revenue highlights that individuals who receive products or services instead of cash payments are still liable to pay tax on the value of those goods. This ensures that taxation rules remain consistent and fair, regardless of the form in which payment is received.
Alongside the Income Tax and Corporation Tax guidance, Revenue has also issued a separate TDM clarifying the VAT treatment of activities carried out by Social Media Influencers. Importantly, there are no special VAT rules for digital creators. Instead, influencers are subject to the same VAT obligations as any other business. When influencers supply goods or services in the course of business, they may be required to register for VAT and charge it on their supplies once they exceed the registration thresholds.
This guidance reinforces the principle that all forms of income, whether traditional or digital, are taxable. For the described group of entrepreneurs, it serves as a timely reminder to maintain proper records, understand their obligations, and ensure compliance with both Income Tax and VAT requirements.
Are you an influencer or digital content creator unsure about your tax obligations?
At Right Solution Centre, we help individuals and businesses in the digital space understand their Income Tax and VAT responsibilities. From proper recordkeeping to staying compliant with the latest Revenue guidance, our team ensures you avoid costly mistakes.
Get in touch with us to stay on the right side of tax regulations.
