If you're making millions from YouTube vlogs or viral TikTok dances, it's time to brace yourself—your earnings might soon come under the tax radar!

As Pakistan gears up to present the federal budget for the fiscal year 2025-26 on June 10, sources reveal a major development that could impact the influencer economy. According to media reports, the government is seriously considering imposing a 3.5% tax on income from social media platforms like YouTube, TikTok, and others.

This new proposal, put forward by the Institute of Cost and Management Accountants of Pakistan (ICMAP), is aimed at expanding the country’s tax net and generating additional revenue. The suggested levy on digital content creators could bring in a substantial Rs52.5 billion to the national treasury.

The social media income tax initiative is being viewed as a strategic move by the government to tap into the booming digital creator economy, which has so far remained largely untaxed. What was once seen as just a source of entertainment or self-expression has now evolved into a lucrative income stream for thousands of creators across the country.

Reports suggest that the government is giving this proposal serious thought, and it may well be part of the formal budget announcement. If implemented, this would mean influencers—whether they earn through YouTube ads, sponsored TikTok videos, or brand deals—will have to start accounting for taxes on their digital earnings.

For digital creators, this is a wake-up call. As the social media income tax inches closer to reality, the era of untaxed online income could soon be over.

So, if you’re a content creator living the dream in front of the camera, it might be time to also get familiar with the numbers behind the screen.