Tax Advice for Social Media Influencers: What you need to know

Social media has opened doors for creators to turn hobbies into side hustles, and even full-time careers. Platforms like YouTube, Instagram, Facebook, TikTok, Twitch, OnlyFans, and Snapchat are now mainstream income streams. But with great earnings comes great responsibility, particularly with your tax return.

Yes, Influencer Income Is Taxable in Australia

Whether you're earning from sponsored posts, advertising, affiliate links, subscriptions, or donations, it’s all assessable income under Australian tax law. Even free products or services given in exchange for posts must be declared.

In 2019, the Australian Taxation Office (ATO) announced tighter scrutiny on influencers — often dubbed the “Instagram Tax.” So if you think no one’s watching — think again.

Examples of assessable non-cash benefits:

• Free clothing or accessories

• Complimentary appliances or beauty products

• Sponsored holidays and accommodation

• Free event tickets or festival entry

• Loaned cars or luxury items

If you’re receiving it in exchange for services, it’s income.

Earning Over $75,000? You Must Register for GST

If your influencer income exceeds $75,000 annually, you must register for GST and lodge Business Activity Statements (BAS). This applies even if your income includes non-cash benefits or international payments.

What Can You Claim as a Deduction?

To reduce your tax liability, you may be entitled to deductions for expenses directly related to your content creation work. Common influencer deductions include:

• Technology and Equipment: Cameras, lights, microphones, editing software

• Home Office Setup: Chairs, desks, monitors, dedicated filming space

• Marketing Costs: Social media ads, graphic design, website domains, SEO services

• Business Costs: Accounting fees, legal advice, Xero or bookkeeping subscriptions

• General Supplies: Stationery, props, content planning tools

TIP: Keep accurate records, every product you receive, every dollar you earn, and every expense you incur. It’s your safety net in case of an ATO audit.

Why You Need an Accountant Who Understands Influencer Tax

This isn’t your average 9-to-5 job, and you need an accountant who gets that. Influencers have unique income streams, international earnings, and complex deductions.

At Dolman Bateman, our team specialises in influencer tax and e-commerce accounting. We stay ahead of tax law changes and digital trends so you don’t have to. Whether you’re running a personal brand, launching a product line, or monetising your following — we can help you stay compliant and reduce your tax bill legally.

Don’t Assume You Can Dodge It | The ATO Is Watching

The ATO’s data-matching program tracks digital platforms including:

• Cryptocurrency exchanges

• Airbnb and short-stay income

• Streaming and creator platforms like OnlyFans and Twitch

As technology evolves, so do compliance measures. Soon, platforms may be required to hand over user data directly, making tax evasion virtually impossible.

Need Help With Your Tax Return?

If you're a social media influencer or content creator and need help navigating your tax obligations, call (02) 9411 5422 or book an appointment with our experienced team.

Let’s make sure your hustle stays profitable, and legal.

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Disclaimer:

The information provided in this article is general in nature and does not constitute personal financial, legal or tax advice. While every effort has been made to ensure the accuracy of this content at the time of publication, tax laws and regulations may change, and individual circumstances vary. Dolman Bateman accepts no responsibility or liability for any loss or damage incurred as a result of acting on or relying upon any of the information contained herein. You should seek professional advice tailored to your specific situation before making any financial or tax decision.

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