Indian creator tax, the 2026 update
What changed in creator income tax treatment in the 2026 budget, and what stays the same.
Creator income is treated under Section 28 (business income) or Section 56 (other sources) depending on the structure. The 2026 budget did not change the section. It did change a few rates and disclosure requirements.
Section 194-O TDS
Platforms now deduct 1% TDS on creator payouts above ₹1L per quarter. This applies to YouTube AdSense, Instagram bonuses, brand partnerships routed through platforms.
GST on brand deals
Brand deals are taxable services. GST applies above ₹20L turnover. Most active creators cross this threshold within 12 months.
Section 80C and the new tax regime
If you are a creator earning under ₹15L, the new tax regime is likely better. Above ₹15L, run both calculations with your CA.
Equipment depreciation
Cameras, mics, lights, editing PCs depreciate under Block 1 at 15% per year. Software depreciates under Block 11 at 40% per year. Keep invoices.