Summary
The new economy, driven by social media influencers and content creators, is breaking the traditional conventions of tax law. In a reality where private life is the "product" and the home is the "studio," the line between a personal expense (non-deductible) and a business input (eligible for VAT deduction) becomes blurred and complex. This article analyzes the unique tax challenges of the digital era.
The article examines key issues facing every YouTuber, TikToker, or Instagrammer: from the taxation of barter transactions (which are extremely common in the industry and require the issuance of mutual invoices), through the question of proportionality in deducting expenses for clothing, makeup, and home design used for filming, to the recognition of inputs intended for building a "personal brand" without an immediate concrete transaction.
The legal analysis proposes a flexible and progressive interpretation of the term "for business purposes," utilizing Regulation 18, which allows proportional deduction (25% or 67%) for mixed-use expenses. The message is clear: the Tax Authority must adapt its old tools to a reality in which personal space is the workspace, and recognize that for influencers, even the morning coffee is sometimes part of the business production process.
