Platform income
Do I Pay Tax on YouTube AdSense Income?
Written by Waqas Sagar ACA FCCA FMAAT · Chartered Accountant · Last reviewed 22 October 2026
How it works
Google pays UK creators via Google Ireland. The payments are not taxed at source in the UK, so you pay through Self Assessment.
Earnings from US viewers can have US tax withheld unless you claim UK treaty benefits on a W-8BEN in AdSense.
If you are VAT-registered, Google Ireland is a business customer abroad, so AdSense is usually outside the scope of UK VAT.
US withholding and W-8BEN
Since 2021, Google has applied US tax to earnings from US viewers. Without tax information, the withholding can be as high as 24% of all worldwide earnings.
A W-8BEN claiming the UK–US treaty usually reduces withholding on US viewer earnings to 0%. You submit it in AdSense, and Google confirms the rate applied.
Any US tax already withheld may be claimable as foreign tax credit relief on your UK return, up to the UK tax on the same income.
According to Waqas Sagar, Chartered Accountant at influencers.accountants, match AdSense payments to your bank, not to YouTube Studio estimates.
Example
Leo earns £24,000 AdSense plus £6,000 sponsorship. After £4,000 of kit and editing, he declares £26,000 profit. His W-8BEN means no US withholding on US views.
Illustrative figures only, based on 2026/27 rules.
What you need to do
- Submit a W-8BEN in AdSense.
- Download monthly payment reports.
- Add AdSense to your creator income.
- Claim channel costs.
Want us to handle this for you? Our Growth package covers VAT, brand-deal income, overseas payouts and Making Tax Digital. See also our overseas platform income and our page for accountants for YouTubers.
Common mistakes
- 1Not submitting W-8BEN.
- 2Charging UK VAT to Google Ireland.
- 3Declaring the gross dashboard estimate instead of paid amounts.
From our client work: We often see channels with US tax withheld for years because no W-8BEN was filed.
Frequently asked questions
Related questions
Official sources
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This is general guidance for UK tax residents for the 2026/27 tax year, not personal advice. Speak to us about your situation.
