A young social media sensation known as "Little Fairy" has stunned China's booming influencer industry by disclosing a staggering $13 million tax bill for the year 2023, SCMP reports.
Pan Yurun, aged 28, boasts an impressive 7.7 million followers on Douyin, China's counterpart of TikTok. Renowned for her skincare and makeup tips, Pan's massive tax payout sheds light on the immense profitability of the influencer scene in the country.
China's Lucrative Influencer Industry
With her estimated annual income surpassing $28 million, Pan's jaw-dropping tax payment is explained. Her willingness to fulfill her tax responsibilities contrasts sharply with recent crackdowns on celebrities evading taxes in China.
Notably, another prominent figure, "live-streaming queen" Viya, was fined a hefty $210 million for tax evasion, signaling growing scrutiny of the industry.
Having transitioned from sharing weight loss advice to peddling clothes and beauty products, Pan now focuses on marketing skincare items through her live streams on Douyin. Her dedication has earned her recognition as one of China's top 50 Key Opinion Leaders (KOLs) by Forbes in 2019.
China boasts a vast influencer community, with over 150 million live-streamers, yet the majority earn modest incomes below the individual income tax threshold of $700 per month.
Influencer Earns More Than $18 Million in a Week
In similar news, another Douyin sensation, Zheng Xiang Xiang, has garnered attention for her minimalist approach to live-streaming sales. By showcasing each product for a mere three seconds and eschewing upselling, Xiang Xiang managed to rake in an astounding $18.7 million in sales within a week, Singaporean media reported in November.
Her unique aesthetic and affordable offerings have captivated audiences, demonstrating the various strategies used within China's lucrative livestream e-commerce landscape.
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