The tax investigation authorities in North Rhine-Westphalia are intensifying their actions against influential personalities from the internet: content creators, influencers, and digital entrepreneurs are increasingly in the crosshairs of investigators. The accusation is serious—a large-scale tax evasion scheme resulting in estimated damages of several hundred million euros. Particularly explosive: many of those affected are said to have deliberately moved their activities abroad, especially to Dubai. The goal? Apparently, to evade the reach of German authorities. But that is now coming to an end—the North Rhine-Westphalian tax administration is now systematically targeting this business model. With a specially established team of tax investigators focusing exclusively on digital sources of income, these structures are to be uncovered and dismantled.
A new authority targets digital tax fraud
In January 2025, North Rhine-Westphalia established the State Office for Combating Financial Crime (LBF NRW)—a nationwide unique institution intended to target tax offenses with state-of-the-art technology and specialized teams. This central investigative authority brings together various areas of expertise such as anti-money laundering, cybercrime, and, of course, tax evasion. Within this framework, a special investigative team was created that is exclusively concerned with the world of influencers, streamers, and other online business models. The so-called “influencer team” is tasked with analyzing and reviewing suspicious account movements, advertising partnerships, and unexplained sources of income in the social media industry for tax compliance.
This focus is by no means arbitrary. Rather, the state is responding to a dramatically growing industry where significant revenues are generated, but tax obligations are often neglected or deliberately ignored. Officials speak of a systematic problem with significant financial scale: in North Rhine-Westphalia alone, the resulting tax damage is estimated to be about 300 million euros. And it is assumed that similar structures exist in other federal states as well.
The scale of tax offenses—thousands of data records and hundreds of cases
The investigations of the influencer team are based on a large volume of data. According to the authority, about 6,000 data records have been analyzed—including social media profiles, advertising partnerships, payment flows, and public content indicating commercial activities. In many cases, investigators have been able to determine, through cross-referencing advertising with transactions, whether and to what extent income has been generated—and whether it was declared correctly for tax purposes.
More than 200 criminal proceedings are already underway against influencers residing in North Rhine-Westphalia. Often, these involve five-figure amounts, and in particularly serious cases even reach into the millions. The trend is increasing, as the data material has not yet been fully analyzed. Investigators expect the number of cases to continue to rise in the coming months. Particularly noteworthy is the professionalization of the scene—many of the accused do not operate their social media channels as a hobby but as a business activity with a clear intent to make a profit, yet without being registered for tax purposes.
Tax havens under scrutiny—Why so many influencers emigrate to Dubai
A recurring pattern in the investigations is the sudden move by many influencers to Dubai. The metropolis in the United Arab Emirates is considered a special tax location: there is no income tax, no capital gains tax—a supposed paradise for people earning large sums on the internet. In numerous cases, it becomes apparent that the move was made not for personal, but purely for tax reasons. The problem: close economic and personal ties to Germany often remain, which from a tax perspective can be classified as “habitual residence.”
Additionally, the German tax authority is increasingly cooperating internationally when clear circumvention is detected. Through information exchange agreements and automated data inquiries, investigators attempt to access relevant information even in supposedly safe havens like Dubai. Simply fleeing abroad to evade the German tax authorities no longer works smoothly—and will increasingly pose a higher risk in the future as international investigative cooperation continues to expand.
How income is hidden—disappearing ads and short-lived content
A particularly clever tactic for concealing advertising revenues is the use of Instagram and TikTok stories. These posts disappear automatically after 24 hours and leave no visible trace at first glance. But here too, investigators have adapted: through digital archiving and automated search processes, even fleeting advertising partnerships are documented and analyzed. Collaborations with brands and affiliate programs can also be reconstructed using tracking codes and link data. The establishment of the influencer team thus demonstrates how purposefully tax authorities now use digital methods.
Who is affected?—Investigators focus on large accounts
Contrary to common fears, the actions are not directed at casual users or small accounts with occasional product recommendations. The focus is on professional actors with sometimes six-figure monthly revenues who regularly post commercial content and yet do not possess a valid tax number. In these cases, investigators assume that tax evasion is not due to ignorance but is intentional. According to the authorities, this constitutes organized, systematic tax avoidance, in which all forms of income—whether money, travel, or material assets—are deliberately concealed.
Investigation pressure increases—what consequences must those affected expect?
Those who come into the focus of tax investigators must expect severe consequences. In many of the ongoing cases, there have already been searches of homes, seizures of IT equipment and account documents. Some accused have subsequently paid their tax debts—often in six-figure sums. But this does not protect them from criminal consequences. Tax evasion is considered a criminal offense in Germany and can be punished with fines or even imprisonment. The situation is particularly serious if repeat offenses are found or if millions are involved.
The investigators’ methods have also changed: with the help of algorithms, foreign data, and AI-supported analysis tools, digital tracking has become much more efficient. Online advertising, transaction data, and social media interactions are systematically linked to uncover concealed income. This gives the authorities tools that make it possible to secure evidence even in complex structures.
Signaling effect and future prospects—What does this step mean for the industry?
The consistent action by the North Rhine-Westphalian authorities is sending a clear signal far beyond the state’s borders. The message is clear: digital business models are also subject to tax obligations. Influencers and content creators can no longer hide behind the fleeting nature of their content or foreign addresses. This development marks a turning point in which digital visibility increasingly equates to tax responsibility.
For other federal states, the approach taken in NRW will likely serve as a role model. The success of the influencer team speaks for itself, and it is only a matter of time until similar structures are established elsewhere. At a time when digital business models are becoming ever more important, this adjustment by the tax authorities is a logical and necessary step. The public frequently welcomes this initiative as a fair measure against unequal tax treatment.
What those affected should do now—seek professional support
Anyone who fears that their social media income may attract the attention of the tax authorities should not hesitate to take action. Inactivity can be costly—not just financially, but also criminally. It is advisable to transparently review and fully document one’s business activities. This includes income from advertising, platform payments, product collaborations, as well as received non-cash benefits such as travel, technology, or fashion items.
In many cases, it makes sense to consult a legally qualified advisor with in-depth knowledge of tax law as early as possible. Such a person can help realistically assess existing risks, initiate the necessary steps for subsequent declarations or voluntary disclosure, and minimize potential consequences.
Qualified legal advice not only provides security in dealing with current investigations but also ensures a solid and legally compliant foundation for the future. Anyone who works transparently and complies with current tax laws significantly reduces the risk of fines, clawbacks, or even criminal consequences.
Conclusion—The tax authorities are alert: Tax liability does not end with the upload
The world of online marketing has evolved rapidly in recent years—millions are earned through likes, views, and clicks. But with growing success comes greater responsibility. The establishment of the influencer team in North Rhine-Westphalia impressively demonstrates that the tax authorities have recognized this change and are responding accordingly. The current investigations are just the beginning. They mark a new phase of tax enforcement that no longer treats digital business models as a legal gray area.
Influencers, streamers, and digital entrepreneurs should take this as a reason to take their tax obligations seriously. One thing is clear: digital success may come quickly—but so has the tax investigation arrived on the internet.
