Popular streaming services like Netflix and iFlix will be subject to Goods and Services Tax (GST) if proposed amendments to the GST Act are approved at the next Dewan Rakyat session.
Customs director-general Datuk Seri Subromaniam Tholasy confirmed this at a press conference earlier today, citing the government has to take measures to tax online enterprises in the ever changing digital economy.
He said that this will be one of a number of amendments to the GST Act that will be tabled that will affect all businesses that operate online businesses, whether they are based locally or internationally.
While locally based streaming services like iFlix and Astro Go should have a straight forward GST implementation charges included in their monthly bills, we are not sure how the other global streaming services like Netflix and Amazon Prime will respond to the GST amendments.
Last month, we reported that payments to social advertising service providers like Facebook and Google will soon be subject to GST.
via The Malay Mail