Tax Clampdown on Influencers' 'Free' Promotions: 15% Withholding Tax Mandatory

New Tax Regulations for Social Media Influencers Free products, accommodation, or services received by social media influencers in exchange for promotional activities will now be officially recognized as commercial income.
The Ministry of Treasury and Finance has introduced these measures to bring digital marketing activities under stricter fiscal oversight.
Mandatory Bank Payments and 15% Withholding Under the new system, the value of products or services provided to influencers must be determined by the businesses based on current market rates.
Companies are now obligated to deposit the equivalent service fee into the influencer’s designated tax-exempt bank account.
A 15% income tax withholding will be automatically deducted from these payments.
This ensures that even non-monetary compensation is taxed at the source, aligning social media promotions with standard commercial practices.
Combating the Informal Economy The primary goal of this regulation is to prevent the informal economy within the digital sphere.
By requiring all transactions to be processed through bank records, the government aims to ensure full transparency in the influencer marketing industry.
Authorities emphasized that perks provided in exchange for promotion will no longer be legally classified as "gifts." Every transaction must be documented, and content creators who exceed established tax exemption limits may face additional tax liabilities in the new period.