IT Department cracks down on Tax Evading Social Media Influencers; Notice to 15 Influencers
Numerous social media influencers are encountering with income tax heat following their posts related to travel to exotic locations.
The Income Tax Department has cracked down on social media influencers who flaunt their international vacations and expensive purchases on social media while paying no or “substantially low” tax. The Income Tax Department has issued notices to 15 such influencers, requesting that they explain their sources of income and why they have not paid taxes on their gains.
Based on reports, the IT Department is following the influencers on social media and tracking their spending. In addition, the government is employing data analytics to identify influencers who may be underreporting their income.
The notices have been sent to influencers in a range of fields, including fashion, leisure, travel, and Bollywood. The Tax Dept. is requesting information from influencers about their earnings from brand endorsements, sponsored material, and other sources. The government is also requesting information on the influencers’ costs, such as travel, lodging, and apparel.
The Income Tax Department is cracking down on social media influencers as part of a larger push to enhance tax compliance among high-income individuals. The government has been notifying a wide range of high-income individuals, including celebrities, businesses, and professions.
The Social media Influencers clampdown has been met with mixed reactions. Some have praised the decision, claiming that it is vital to guarantee that everyone pays their fair amount of taxes. Others have criticised the policy, claiming that it violates people’s privacy and that the IT Dept. should not be monitoring their social media activities.
The impact of the Income tax repression on social media influencers remains to be seen. However, it is evident that the department is serious about making sure everyone pays their fair amount of taxes.
Here are some new income tax rules for social media influencers. If a media influencer wants to avoid receiving income tax notices in the future, they must be aware of the new taxes that apply to them.
1. All social media influencers who make more than Rs.2 lakh per year are subject to the new tax.
2. The tax rate on influencers’ gross income is 30%.
3. Influencers can claim deductions for certain expenses, such as travel, accommodation, and equipment.
4. The new tax goes into effect on April 1, 2023.
Join StudyCafe Membership. For More details about Membership Click Join Membership Button
In case of any Doubt regarding Membership you can mail us at [email protected]
