Buenos Aires Introduces Tax on Online Media Streaming Services

The city of Buenos Aires announced on 3 September 2014 that it will charge a 3% gross income tax on payments made to foreign providers of online streaming services and other online media purchases. The new tax is set to apply from 1 November 2014.

Dubbed the Netflix tax, the tax will effect online subscription services of foreign providers such as Netflix, Amazon, Spotify, Hulu, etc. The tax will be collected on purchases made with credit cards, with the credit card companies acting as tax w…