Non-compliance of influencers has prompted the UK tax authority to chase over 4,300 social media influencers this year 5 . Similarly, tax authorities in the Philippines are notifying influencers to pay business and VAT taxes associated with their social media activities 6 . Examples of influencers selling goods on social media platforms 7 Social media personalities are generating income in diverse ways, including: Social media influencers Gifts: brands send gifts to influencers as a means of viral advertising through reviews, unboxing videos, and other content. Sponsored posts: influencers advertise brands and products with sponsored posts or positions as brand ambassadors. Subscriptions: influencers may sell subscriptions, digital courses, or other content. Online sales: followers purchase items through their websites, affiliate links, or coupon codes. 5 https://www.ft.com/content/60e4b99c-4aac-4066-a013-d1070d24b816 6 https://cruzmarcelo.com/bir-reminds-youtubers-and-other-social-media- influencers-to-pay-their-taxes/ 7 https://www.linkedin.com/pulse/tiktok-shop-new-qvc-infinitynation/ + Revenue through online sales, affiliate marketing, coupon codes, gifts, advertisements, branding deals, subscriptions and more + UK and Philippines are chasing influencers over non-compliance of income and VAT taxes 3 Combatting Tax Evasion in the Digital Marketplace 2 Challenges for Tax Authorities 4 About NEXYTE 4 1 Tax Evasion in the Digital Economy