State Tax Committee: Individuals engaged in advertising activities on social networks should pay income tax

Individuals engaged in advertising activities on social networks (Giveaway) should pay income tax in the amount of 12% on income generated in the course of activities (for income received before July 1, 2020), the press service of the State Tax Committee (STC) reported.

A giveaway is a quiz, in order to participate in which you must fulfill a number of tasks. For example, subscribe to the organizer’s or partner’s Instagram account, like a photo, or repost a photo.

In accordance with the presidential decree of June 8, 2020, the list of activities that self-employed persons can engage in has been expanded.  A new direction – the provision of services in the field of ICT, which includes “Activities in social networks” (promotion and advertising in social networks, SMM, administrator of social networks, etc.), has been added to the list.

Thus, in accordance with Article 369 of the Tax Code, in the manner prescribed by law, income received by self-employed persons as a result of their activities is exempt from income tax for inclusion in total income.

If the activity in social networks, that is, the promotion and advertising of services in social networks, was registered after July 1 of this year by a self-employed person, then the income received will be exempt from personal income tax.