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OTT becomes taxable in Argentina

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Roshan Dwivedi

As per the Decreto 354 published in the Boletín Oficial de la República Argentina, online video platforms such as Netflix, Amazon Prime Video and live music streaming platforms such as Spotify will have to pay taxes in the country. The regulation has been implemented with immediate effect.

There has been a long debate going in Argentina about the issue and Govt. has finally decided to charge the end user as they see it as the easiest legal way to secure the payment.

Credit card companies will be the intermediary agents who will directly hold the VAT amount and send it to the public coffers with Argentina’s Administración Federal de Ingresos Públicos (AFIP) managing the money.

The move may result in an expensive Netflix subscription and may have a similar effect on the other SVOD services. Over the last year, several Latin American countries, such as Colombia, Costa Rica and Uruguay, have started taxing OTT players in an effort to make market conditions equal with other video providers, such as pay-TV players.

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Roshan Dwivedi
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