The Netflix Tax Might Cost Binge-Watchers Some Extra Cash


The Netflix tax is coming for Australia, and the future is looking a bit grim for binge-watch enthusiasts who were enjoying the relatively low prices of Netflix subscriptions. If the Netflix tax will be included in next week’s Federal Budget 2015, consumers may have to pay an extra 10 percent for services like Netflix.

The Australian federal government may introduce a tax, the “Netflix tax,” that would add 10 percent to digital goods bought online – including games, movies and books provided by overseas companies. We currently don’t pay any goods and services tax (GST) for online purchases under US$1,000.

Netflix has previously stated that it will add the GST to its service once the federal government passes it so, for now, all we can do is sit tight and wait to see how things go. By next week, we will have a clearer picture of if and how this tax might affect us in the long run.

Do you think that the Netflix tax will make Australians pirate more? Share your thoughts in the comments!

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