Since 2023, Revenue has issued approximately 450 compliance notices to online influencers, reminding them to meet their tax obligations.
These notices outline the tax implications of income, gifts, free services, and digital assets received through business activities. Revenue acknowledges the increasing number of people earning through social media and views this as a growing area of focus for encouraging voluntary compliance and identifying cases of underpayment.
The letters fall under ‘Level 1 compliance interventions,’ serving as reminders to file tax returns and pay any owed taxes.
Under current guidelines, taxpayers can receive gifts valued up to €3,000 per person annually without incurring Capital Acquisitions Tax (CAT). However, once a gift exceeds this amount, a 33% tax applies. Multiple gifts from different people are allowed under the exemption.
Revenue has made it clear that underreporting or failing to declare income may lead to serious consequences. Penalties, interest charges, and the risk of being publicly listed as a tax defaulter are among the potential outcomes. In severe cases, legal action may follow.
Influencers are urged to ensure full compliance, as Revenue continues to monitor digital business activities and enforce tax regulations to maintain fairness across all sectors.