With this tax, which will be applied in Gross Income, they seek to avoid asymmetries, since it has been charged for some time also in the city of Buenos Aires.
From April 1, a new tax on digital services will be applied in the province of Buenos Aires, according to governor Axel Kicillof. This is an additional 2% for Netflix , Spotify and other streaming platforms.
The surcharge corresponds to Gross Income and will be applied to streaming services that are provided from outside the country. The PBA had suspended this extra, but now justified the application by saying that the City of Buenos Aires applied the same fee in January.
The head of the Collection Agency of the Province of Buenos Aires (ARBA), Cristian Girard , announced that Provncia will collect the tax again. “There is something that Argentina has been talking about, which is tax harmonization. The tax harmonization aims fundamentally not to generate asymmetries or inequalities in the collection of taxes in relation to the agents who pay them ”, he explained.
Girard also said that this tax on digital services provided by companies abroad was created in 2019, during the administration of former governor María Eugenia Vidal .
“It is a tax that was introduced in other jurisdictions and the truth is that an asymmetry is generated when there is a neighboring jurisdiction, whatever it is, that collects the tax and the other does not. It seemed prudent to us since the Government of the Autonomous City of Buenos Aires put into effect the collection of the tax , doing it simultaneously because otherwise we would generate an inequality or a distortion between users who are on one side or the other ” added.
The head of ARBA also referred to “equal treatment” for companies located in Argentina. “There are companies that provide digital services that are located in the province of Buenos Aires and those companies are paying Gross Income but those that provide them from abroad are not. From my point of view, this creates a disincentive to national production, which is something with which we clearly do not agree ”, he added.
Finally, he remarked that “the sense of opportunity has to do with the fact that the Autonomous City of Buenos Aires was putting it into effect.” He even pointed out that the reactivation of the tax in the province will take place “a month later” than in the Federal Capital.
How will the prices of Netflix and Spotify be
The 2% recharge is added to those already charged by Netflix and the rest of those services, such as 21% VAT, 8% PAIS tax, 35% of perception on account of Profits and 1, 2% stamp tax.
Netflix
- The basic plan has a value of $ 460.91 taxes included ($ 279 without tax) it will cost $ 466.49 adding IIBB.
- The standard plan will go from $ 758.27 with taxes ($ 459 without taxes) to $ 764.45 adding IIBB.
- The premium plan will go from $ 1105.19 with taxes ($ 669 without taxes) to $ 1118.57 adding IIBB.
Spotify
- The individual plan (1 account) has a value of $ 229.63 taxes included ($ 139 without taxes) and will go to $ 232.41 adding IIBB.
- The duo plan (2 accounts) will go from $ 295.71 including taxes ($ 179 without taxes) to $ 299.29 adding IIBB.
- The family plan (6 accounts) will go from $ 394.83 taxes included ($ 239 without taxes) to $ 399.61 adding IIBB.