Philippines Imposes 12% Value-Added Tax on Netflix, HBO Services

Philippine President Ferdinand Marcos Jr. on Wednesday signed a law imposing a 12% value-added tax on non-resident digital service providers including Netflix, HBO and Disney.

The new law, among the first revenue-generating priority measures passed under Marcos, covers online search engines, media, advertising, platforms as well as digital marketplaces and goods and cloud services.

“If you are reaping the rewards of a fruitful digital economy here, it is only right that you contribute also to its growth,” Marcos said in a speech during the signing event. The new law will level the taxes paid by local businesses and ...