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Australian 'Netflix tax' to come into effect from July

jun, 25, 2023 Hi-network.com
From 1 July, Australia will apply a 10% goods and services tax (GST) on digital products and services from overseas that are bought in Australia. This 'Netflix tax' is meant to close a loophole through which foreign companies were exempt from collecting GST on their exports to Australia, making sure that 'Australian businesses selling digital products and services are not disadvantaged relative to overseas businesses that sell equivalent products in Australia'. Similar measures have been taken by the EU, New Zealand, Brazil, Russia, Taiwan, and South Africa. Yet, earlier this month, the Canadian government rejected a proposal to implement a 'Netflix tax'.

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