Lasizwe Defends Influencers Against SARS Taxation

• YouTuber Lasizwe Dambuza has expressed strong criticism towards the South African Revenue Services (SARS) for their choice to impose taxes on influencers
• As a creator of content himself, Lasizwe shared insights on the misconceptions surrounding influencers’ lives, emphasizing their challenges
• SARS elaborated that their ruling stems from the shift in advertising agencies favoring creators over conventional advertising methods

South African content creator Lasizwe Dambuza commented on the decision made by the South African Revenue Services (SARS) concerning the taxation of influencers.

During his outburst, Lasizwe pointed out that the reality for many influencers is not the glamorous lifestyle that is often assumed, and that they often struggle financially.

Rationale Behind SARS’s Taxation of Influencers

As reported by Sunday World, SARS indicated that their decision reflects the growing trend of advertising agencies favoring content creators over traditional advertising formats. They stressed that this is not a punitive measure, but rather an effort to ensure that all professionals fulfill their tax obligations.

This reasoning did not sit well with Lasizwe, who criticized SARS, highlighting the challenges faced by content creators.

“Being an influencer is not as glamorous as people think. It’s actually very tough to navigate this world, and even harder to reach a point where you can confidently invoice and charge for your work. Every single day, influencers are negotiating down, and it’s ironic because when you walk into a store like Pick’n Pay to buy bread, you’d never ask to negotiate the price. Yet, in this industry, our value is constantly questioned.

Lasizwe further stated that numerous influencers often spend more than they actually bring in, which makes this tax decision seem unjust.

“On top of that, people don’t see how much influencers spend just to show up. Sometimes you’re paying thousands for makeup, transport, or outfits just to attend an event for free. You’ll maybe get a goodie bag, but now even that is being seen as taxable. It’s baffling,” he expressed.

“I really empathise and sympathise with content creators who are not making real money from this work, and now they’re expected to pay tax just to be content creators. That’s heartbreaking. Instead of making their journey harder, I wish more energy were put into creating opportunities that uplift and support young creatives in this space,” said Dambuza.

Daily Sun noted that SARS aims to collect taxes owed to the state effectively. They indicated that certain influencers might even be categorized as provisional taxpayers. In their statement, SARS also stated that they have produced videos to simplify this process for a better understanding.