A demand letter has been sent requesting that Kenyan TikToker Pilot Nyako submit tax returns on earnings from TikTok gifts.
Additionally, she has been instructed to disclose her daily earnings from the video-sharing app.
Nyako shared details from the two letters on her well-liked TikTok channel, where Kenyans also expressed their suffering over tax-related issues.
"I have been given up to 30 November to declare gifts to the Government. How much gift do I get? I have been given an ultimatum of 30 November 2023, to declare TikTok gifts," displaying the small slip from the German Government.
Did you read this?
"Alafu barua ingine is a letter to find out how much do I earn on TikTok every day. From Monday to Sunday," she showed the tables that she had to fill with information.
"This is a letter from the Government. Yes I will send it back," saying she will fulfill her obligations as a taxpayer to the relevant tax authority.
What you should know about gifts on Tiktok is as follows:
- It is revenue received in return for streaming.
- TikTok gifts may be taxable depending on the nation and its tax regulations.
- The value of each gift varies; it can be as little as a few pennies or as much as diamonds or automobiles.
- TikTok creators must pay taxes since they exchange the gifts they receive for actual cash.
- These virtual gifts could be taxable in certain countries as income.
- It is crucial for TikTok creators to report any gifts they receive on their tax returns accurately and to maintain a record of their value.