They say New means of income brings new challenges for the government. As we are progressing digitally so is the government. Now it is difficult to hide your income specially if you’re earning digitally. Government are using new means to include content creators in tax bracket.
New Tax For Content Creators!
Pakistan’s Federal Board of Revenue (FBR) has changed the game. A new tax formula now targets foreign digital earnings. The fixed rate is Rs.195 per thousand views (RPM).
This applies to platforms like YouTube, Instagram, and TikTok. The goal is clear: bring content creators into a structured tax system.
How the Rs.195 RPM Formula Works
The FBR will estimate your income based on views. For every 1,000 views, they assume you earn Rs.195. This presumed income is then taxed accordingly. You don’t need to prove actual earnings from foreign platforms. The FBR uses this fixed RPM to simplify assessment. It removes guesswork for both creators and tax officials.
Why FBR Introduced This Formula
Many creators never filed taxes before. Foreign income often went unreported. The new RPM method creates transparency.
Impact on Influencers and YouTubers
Your tax liability will now depend on total views. Higher view counts mean higher presumed income. Even if your actual RPM is lower than Rs.195, you pay tax on that figure.
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