Many people across the globe have turned to OnlyFans to ensure that they are able to survive the financial devastation of the COVID-19 pandemic. As more people were locked indoors for an extended period across the world, the erotic content subscription service – which is based in London – has seen a boom in users.
It allows content creators to receive funding directly from fans on a month-to-month basis, as well as tips. It also has a pay-per-view feature.
South African content creators who use the platform better beware, however, as the South African Revenue Service (SARS) has announced it will be taxing Only Fans content creators. More specifically, they will have to pay 15% of their total earnings to SARS.
What under the OnlyFans bracket will be subject to VAT taxing?
– All subscriptions and purchases made via the platform will be subject to VAT
– OnlyFans content creators will have to pay 15% of their total earnings to SARS
– Monthly profile subscriptions, pay-per-view services and tips will be subject to a taxable amount
On average, an OnlyFans content creator may make between $180-$250 per month. This comes to approximately R2600 to R3700. While this number may be low, the platform has top earners who can make up to R119 000 per month – but earning this much is not common for the majority of South African content creators.
Picture: Unsplash
