Earning Via Social Media to have Increase Taxes

The increase taxes on income of the social media platforms is on the cards as federal government is considering the proposal to jack up the taxes. Different segments of the society have been affected adversely with the new emerged wave of inflation. The reason given to the citizens of Pakistan for the hike in inflation is that it is to payback the IMF loan.

According to terms set by the international lender, plans are underway to increase taxes on income of over Rs1 million per annum.

In pursuance of its program, the IMF decides to ensure tough conditionality’s are complied with by the government. Measures such as reduction in income tax credits and allowances are a consequence of this program.

An indication has been given by credible sources that an upward trend in taxes on income from social media platforms such as online games, TikTok and YouTube is also expected.

Time will tell whether the taxes are implemented or not. The content makers might not welcome these increased taxes. This new taxation policy may work as a double edged sword. Keeping in view this new taxation policy, it may compel those associated in social media sector to flee this platform and explore alternate avenues for success.

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