Tasmania Police is investigating the circumstances of a video circulating on social media in which a chainsaw is used to shear a lamb.

An RSPCA statement released on Wednesday said RSPCA inspectors would be assisting in the investigation.

It is understood a formal report was made at the Oatlands Police Station on April 12 and the people involved had been identified. Tasmania Police confirmed Oatlands officers were continuing to investigate.

"At this stage no charges have been laid, however, it is anticipated police will lay charges for animal cruelty under the Animal Welfare Act," a spokesperson said.

RSPCA deputy chief executive officer Andrea Dawkins said there had been an increasingly troubling trend of videos or images of cruelty to animals being shared through social media.

Acting chief executive officer Marcus McShane said the people involved in the incident not only needed the full force of the law to come down on them, but their fellow workers should also ask themselves if they should be working with people that behave like this.

"Shearing is a wonderful profession that when done well is extremely satisfying and financially rewarding. There is currently a shortage of shearers and shed hands nationwide, industry is doing everything it can to attract workers, but idiots like these make it less appealing," Mr McShane said

"Farmers work very hard to look after their animals, the last thing they need or expect is someone to tarnish their good name or the reputation of their industry and the products they produce.

"Fortunately, what we have seen here is extremely rare, overwhelmingly the vast majority of people involved in the shearing industry handle their animals with care and respect."