Influencer Taxes - 03-15-26

Pre-Covid I had an influx of new clients who felt that their tax professionals were not taking them seriously. They were making money on the internet. This was still fairly new for individuals who weren’t modeling, selling their own products, or services. Every person I onboarded that year shared a similar story.My CPA told me this is a hobby, not a real business.Were you that CPA? You don’t have to be. Change isn’t always bad. We have to be ready to adapt to report the new ways that people ae earning a living. Otherwise, we are leaving taxpayers unserved and money on the table. The influencer marketing industry is here, and it is real.The influencer marketing industry was able to grow during Covid as many advertisers had to adjust or cancel their marketing campaigns. This was because more people were sitting at home consuming content on social media. This new opportunity for smaller influencers has created a new group of taxpayers who need to know their new filing obligations. They’ll also be open to tax planning strategies that you have to help them reduce their tax liability.To help them, we have to understand how their world works. Let’s look at:● What an influencer is● How influencers get paid● How influencers report their income● Tax deductible expenses for influencerson this episode of Think Outside the Tax Box!This podcast is meant for entertainment purposes only. For the more thorough, complete, and accurately written version of this article which includes citations, visit us at http://www.tottb.tax