FBR draft rules: Social media creators with 50,000+ followers must pay taxes

The Federal Board of Revenue (FBR) has announced plans to bring social media earnings under a new tax system. This means income from platforms like YouTube and other monetized digital channels will now be taxed.

Officials said that social media accounts in Pakistan with at least 50,000 subscribers will be treated as businesses and required to pay taxes on their earnings.

The FBR issued draft amendments under S.R.O. 546(I)/2026 and S.R.O. 545(I)/2026, proposing a special procedure for taxing people who earn from social media content. These rules apply to both residents and non-residents earning money from users in Pakistan.

Taxable income will include total earnings from social media content, after allowing up to 30% of revenue as expenses. A benchmark formula has also been introduced for YouTube, with a fixed revenue of Rs. 195 per 1,000 views, which may be updated later.

Creators will need to pay advance income tax every quarter and declare their earnings in a special section of the annual income tax return. If declared earnings are less than the amount calculated under the formula, the tax authorities may recover the difference.

For foreign creators, thresholds have been set for taxation: interaction with over 50,000 users in a year or 12,250 users in a quarter in Pakistan will make them liable for tax.

This move means that influencers, YouTubers, and other digital content creators earning from Pakistani audiences will now face stricter tax rules as the government focuses more on the digital economy.