Tax Exemption and Young Entrepreneur Rights for Social Media Content Creators
Financial Advisor Hakan Ustabaş emphasized that individuals earning income from social media are largely unaware of the young entrepreneur tax exemption and the 15 percent special tax system.
While the number of people making money by producing content over the internet is rapidly increasing, Financial Advisor Hakan Ustabaş drew attention to important tax advantages available to them. Ustabaş stated that the young entrepreneur exemption and special taxation systems are not known well enough.
Details of the Young Entrepreneur Exemption
Stating that content producers on social media hold the status of real persons in commerce, Financial Advisor Hakan Ustabaş expressed that taxpayers up to the age of 29 can acquire the title of young entrepreneur. Within this scope, earnings up to 400 thousand TL annually are exempt from income tax for three years.
Conditions for Benefiting from the Exemption
To benefit from the young entrepreneur exception, the person is required to personally direct and manage this work. Additionally, it is required that the business is established by the person themselves rather than through subsequent partnership.
Special Taxation System
Social media content creation and services such as individual courses, education, and data processing carried out over the internet are subject to a special taxation system within the scope of Article 20/B of the Income Tax Law.
Tax Office and Bank Processes
Those who earn money must first obtain an exemption certificate from the tax office through a digital application. Then, all earnings are taxed through an account opened at a bank established in Turkey.
15 Percent Tax Rate
An income tax withholding of 15 percent is applied to content creators whose annual income does not exceed 5 million 300 thousand TL. With this method, the official tax problems of the producers are eliminated.