How to Choose the Right Accountant for Affiliates to Boost Profits & Cut Your Tax Bill

Sam Hoye

10

min read

How to Choose the Right Accountant for Affiliates to Boost Profits & Cut Your Tax Bill

Affiliate marketing is one of the most scalable online business models—you promote products, earn commissions, and get paid while you sleep.

But when it comes to taxes, accounting, and tracking affiliate income, things get messy fast.

Are you declaring affiliate income correctly? Are you paying too much tax? Could you be saving thousands with better tax efficiency?

If you’re earning through Amazon Associates, TikTok Shop, ShareASale, Awin, or any other affiliate platform, you need an accountant for affiliates—not just a generic accountant who doesn’t understand your income streams.

In this guide, we’ll break down how to choose the right accountant for affiliates, what to look for, and why Social Commerce Accountants are the best choice for UK-based affiliate marketers.

Why Affiliates Need a Specialist Accountant (Not Just Any Accountant)

Affiliate earnings aren’t like a standard salary or business income—they come from multiple platforms, different currencies, and various commission structures.

A general accountant might be able to file your tax return, but do they:

Understand how affiliate marketing commissions are taxed?
Know the best tax setup for full-time vs. side-hustle affiliates?
Help you track earnings across multiple networks efficiently?
Ensure you're VAT compliant (if you’re hitting thresholds)?
Advise on tax efficiency so you keep more of your earnings?

If the answer is no, you could be overpaying tax, underreporting income, or making costly accounting mistakes.

Rory Preston, founder of Eudemo, found the right support:
"Extremely positive experience—quick responses, great support, and a true one-stop shop for all my accounting needs."

1. Do They Understand How Affiliate Income Is Taxed?

Most affiliate marketers get paid via:

  • PayPal payouts
  • Bank transfers from affiliate networks
  • Digital wallet payments (Wise, Revolut, etc.)
  • International payments from US and EU networks

A general accountant won’t understand these income streams, but an affiliate accountant should.

Your accountant must:
Know whether you should operate as a sole trader or a limited company
Understand international affiliate payments and withholding tax
Track and report affiliate income accurately for tax returns

2. Can They Help You Pay Less Tax (Legally)?

The UK tax system isn’t built for affiliates—but a good accountant will help you make it work in your favour.

Should you register for VAT as an affiliate?
Can you structure your income to lower your tax bill?
Are you claiming the right expenses to reduce your taxable income?

You might be overpaying tax because you’re not claiming deductions you’re entitled to.

What Expenses Can Affiliate Claim?

If you’re an affiliate marketer, you can legally deduct expenses like:

Website hosting, domains, and software
Paid ads and traffic acquisition costs
Subscriptions to SEO tools like Ahrefs or Semrush
Video or image editing software for content creation
Home office costs and workspace expenses
Education and training courses to improve your business

A specialist accountant for affiliates will help you keep more of your earnings legally.

3. Do They Understand VAT for Affiliate Marketers?

VAT can be a hidden nightmare for UK-based affiliates.

  • Should you register for VAT if you earn over £85,000?
  • Do you need to charge VAT on affiliate commissions from UK vs. overseas brands?
  • What about digital products and affiliate sales in the EU?

If your accountant doesn’t know the answers, they could be costing you money or putting you at risk of VAT penalties.

Kevin & Mel, founders of Mocha Matcha, worked with tax experts and saw the benefits:
"The best accounting team we've worked with—meticulous, responsive, and provided valuable guidance for our company setup."

4. Can They Help with International Payments and Affiliate Payouts?

If you’re getting paid in USD, EUR, or other currencies, you need an accountant who:
Knows how to handle international tax obligations
Advises on the best way to receive affiliate payouts (to reduce fees)
Tracks currency fluctuations and helps with multi-currency bookkeeping

A good accountant won’t just keep you compliant—they’ll help you optimize your finances to increase profitability.


Why Choose Social Commerce Accountants?

We specialize in working with affiliate marketers and online businesses.

Affiliate Marketing Specialists – We know how affiliate commissions, networks, and tax work.
Optimized Tax Strategies – We help you structure your business to keep more of your earnings legally.
VAT & International Tax Support – Selling in multiple countries? We’ll ensure you stay compliant.
Simple Flat-Rate Pricing – No hidden fees—just clear, affordable accounting from £150 per month (ex. VAT).

Ben Thorpe, founder of 3PL Pro, saw the difference firsthand:
"A HUGE step up from traditional accountants—attention to detail, expert knowledge, and fantastic communication."

Final Thoughts: Do Affiliates Really Need an Accountant?

If you’re making money as an affiliate, you’re running a business—whether you realize it or not.

That means you need to:
Track your income properly (so you don’t underpay or overpay tax)
Claim the right expenses (so you keep more of your hard-earned commissions)
Structure your business in a tax-efficient way (so you grow sustainably)

Most accountants don’t understand affiliate marketing—but we do.

Reach Out

COPYRIGHT © 2025 SOCIAL COMMERCE ACCOUNTANTS | SOCIAL COMMERCE ACCOUNTANTS LIMITED IS REGISTERED IN ENGLAND UNDER 13802919. REGISTERED ADDRESS: UNIT D2 OFFICE 2, STATION ROAD, SAWBRIDGEWORTH, ENGLAND, CM21 9JX. VAT REGISTRATION NO: GB 400 3244 64