The Federal Board of Revenue (FBR) introduced a benchmark tax rate of Rs 195 for every 1,000 monetised YouTube views as part of new rules for taxing social media income.

Under a notification issued by FBR on September 23, the rules apply to income-generating social media content. Creators can deduct up to 30% of their income as business expenses; the remaining amount is subject to tax.

The tax will be calculated based on Rs 195 per 1,000 views or the creator’s actual remuneration, whichever is higher. Creators whose actual earnings fall below the benchmark must provide evidence such as platform revenue reports, bank statements, withholding certificates, contracts or invoices.

For platforms other than YouTube, creators must declare their total remuneration for the relevant period. The tax commissioner may also request access to a creator’s social media dashboard where required under the law. Non-monetised content and views that generate no income will not be subject to the view-based tax.