#BIR Tax

The Bureau of Internal Revenue (BIR) recently posted a memorandum that clarifies the tax obligations of all social media influencers, individual or corporation. But who are social media influencers in the eyes of the BIR? And why did the BIR have to issue this memo? According to the BIR, they have received reports that certain social media influencers have not been paying their income taxes despite earning huge income from different social platforms. The agency also said the there are reports that they are not registered with the BIR or are registered under different tax types or line of business but are not declaring their earnings. The BIR said that the end goal is to raise revenues from their undeclared income and to remind social media influencers of their tax obligations under the law and that failure to pay taxes has possible consequences. In other words, if you earn money from social media platforms, you need to pay your taxes. The BIR said that social media influencers shall be liable to income tax and Percentage or Value-Added Tax unless exempted to the provisions of the National Internal Revenue Code (NIRC) of 1997, as amended, and other existing laws. Read more in our articles including "A closer look at the BIR tax memo for Social Media Influencers" and "BIR launches digital tax calendar".