Thousands of people are being warned they could face sizeable fines from HM Revenue and Customs (HMRC) for failing to declare taxable incomes.
Now more than ever people are making a substantial amount from accounts on TikTok, YouTube and other platforms, but new figures suggest almost one in four content creators (24%) in the UK admit to being part of an "underground economy".
A recent survey by Quirky Digital, targeted at 2,000 content creators, reported that an alarming 24% confessed to not declaring their taxes. These create a covert group who, perhaps unknowingly, are part of a growing number of individuals participating in tax evasion, a crime punishable by heavy fines or even imprisonment.
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Mr Quirk told the ECHO: "HMRC has indicated a tougher stance on tax evasion. The incoming tide of fines, due to swept in the new year, should serve as a wake-up call to content creators. As a proactive measure, if you fall within this category, it might be prudent to seek advice from a tax professional."
HMRC estimates that this non-compliance could amount to billions in lost yearly tax revenue. With the economy embattled by the financial implications of the pandemic, every pound counts. If you are a content creator who doesn't declare income to the HMRC, now is the time to make amends and put yourself on the right side of the law.
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