FOP for Bloggers: How to Legally Work with Advertising on Instagram

Bloggers Victoria and Taxation of Advertising on Instagram

According to Мінфін: Victoria is a 41-year-old blogger with a popular profile on Instagram. Every month she receives approximately 70,000 UAH for advertising Ukrainian and foreign brands (210,000 UAH per quarter or 840,000 UAH per year).

To legalize her income, Victoria registered her activity as an FOP (individual entrepreneur) of group 3. This allows her to legally provide advertising services and receive payments from foreign companies.

Each quarter, Victoria submits a tax declaration through the “My Tax” app and pays taxes.

If Victoria receives payment for her advertising services to her personal bank card, in cryptocurrency, or in cash and does not declare this income, it means that she is not paying taxes on her earnings. Then:

• The military lacks quality footwear for comfortable movement in their positions,
• Children in kindergarten cannot comfortably have lunch in the dining room,
• State social insurance funds are not replenished, so Victoria may not receive social insurance and corresponding payments if needed.

Taxes are important. Contribute to your communities!

This news reveals how bloggers can legalize their income from advertising on social media and what the consequences of not paying taxes may be.