IOTA Webinar 'Promoting Voluntary Tax Compliance of Digital Influencers: Good Practices and Ways to Find Non-Compliance Cases'

The rise of the digital economy has led to the emergence of a new group of earners known as "Digital Influencers". These individuals create content through digital channels and have the ability to influence the purchasing decisions of their audience, providing new opportunities for earning income. These public individuals such as celebrities, models, athletes, designers, and cooks are earning large amounts of income from sharing their knowledge and expertise on a specific topic, gaining followership on social media platforms, marketing activities for third parties, sponsorship income or direct payments in money or goods from participation in face-to-face or digital events, etc.

This IOTA Webinar explored ongoing work carried out in member tax administrations regarding the promotion of voluntary tax compliance among digital influencers, especially on what, when, and how to declare income from digital activities. The event also featured effective strategies to track and assess Digital Influencers’ income from social media apps, marketing activities as well as in person or digital events. Webinar participants examined existing legislative measures and the use of data from third parties and foreign tax authorities to ensure tax compliance of digital influencers.

The event showcased an esteemed collection of speakers from IOTA member tax administrations of Ireland, Spain, and Sweden. They shared some examples of their tax practices that promote and support compliance among digital influencers.

• Spain: “Tracking evidence on social media to contrast with internal information” presented by Mr Rafael Padilla;
• Sweden: “Activities to get influencers to be compliant” presented by Mr Johan Falksäter;
• Ireland: “Online Platforms – Compliance in Ireland” presented by Ms Clare Neely.

The event was closed by an interactive Q&A Session where plenty of questions were raised and the presenters shared their thoughts on the topics. All the materials and presentations are now available online on the event’s webpage, while the video recording of the event will be provided shortly. This Webinar was led by the IOTA International Taxation Expert Massimo Morarelli, with support from his colleague, Ivana Donchevska, and was broadcast live from the IOTA Studio in Budapest, Hungary.