There are “no special VAT rules for influencers”, whose activity remains “subject to the ordinary VAT rules”, the 15-page document states.

It goes on to explain how VAT rules apply to influencers’ sources of income, including advertising income, affiliate marketing, subscription and other payments, merchandise sales, and non-financial benefits.

An influencer who receives a free hotel and spa stay in exchange for promotional posts is liable to pay VAT based on what it would generally cost, for example.

However, an influencer who receives unsolicited gifts or free services with no obligation to review or promote the items does not generally have to pay VAT.