SARS Sets Sights on Social Media Influencers
Written by Rejoice Makotose
In a move prompting discussions across the digital landscape, the topic of influencer tax in South Africa has become critical. The South African Revenue Service (SARS) has officially expanded its taxpayer model to include social media creators. This means every resident earning an income from affiliate marketing, brand sponsorships, and other online activities is now liable to pay income tax.
In this article, we break down what this new focus means for creators. Whether you’re an influencer yourself or interested in the topic, this guide has you covered.
What Does SARS Consider Taxable Income for Influencers?
A major clarification issued by SARS on 5 September 2025 states that taxable income for social influencers is not limited to cash. According to SARS, everything you receive as compensation counts. Let’s explore what this means and how you can remain on the right side of the taxman.
Under the Income Tax Act, 58 of 1962, SARS will consider the following as taxable income:
- Cash Payments and Commissions: This includes all money received for brand collaborations, sponsored content, and affiliate marketing.
- Non-Monetary Compensation: Gifts and perks, such as complimentary trips, clothing, gadgets, experiences, or even trade exchanges (bartering), are all considered part of your income and must be declared at their fair market value.
Understanding Your Tax Obligations as an Influencer
To be compliant with SARS, you must keep meticulous and accurate records of all earnings. Your final tax obligation will be based on your total income for the year, using the standard tax brackets.
- Provisional Tax vs. PAYE: It is important to note that social influencers who are not subject to Pay As You Earn (PAYE) through an employer will be classified as provisional taxpayers. This means you must file provisional returns twice a year, in addition to your annual tax return.
- Declaring Part-Time Influencer Income: For those who engage in social media influencing part-time, this extra income must now be declared alongside your primary salary, which might place you in a higher tax bracket.
SARS’ Approach: Voluntary Disclosure and Enforcement
SARS expects influencers to comply with their tax obligations by voluntarily and fully disclosing their annual income. To assist with this, SARS is preparing resources like educational videos, webinars, and step-by-step guides.
However, it is key to note that as digitalisation has created new opportunities for influencers, SARS’ tools for ensuring compliance have also improved.
- How SARS Identifies Non-Compliant Influencers: SARS can use powerful tools to identify discrepancies between a person’s declared income and their actual lifestyle.
- The Role of Lifestyle Audits and Third-Party Data: A lifestyle audit compares a taxpayer’s declared income against their visible assets and spending habits. Furthermore, SARS increasingly relies on third-party data from banks, e-commerce platforms, and financial institutions to cross-check and verify earnings.
Next Steps: How to Ensure You Are Tax Compliant
The focus on influencer tax in South Africa is here to stay. We encourage creators to understand what constitutes income, keep detailed records, and budget for their tax liabilities.
For those who find navigating their tax obligations overwhelming, we are here to assist you at every step, from record-keeping and tax planning to submitting your returns on eFiling. Contact us today to see how we can assist you.
