ADVERTISEMENT
Filtered By: Money
Money
AMID 12% VAT ON DIGITAL SERVICES

Netflix to hike PH rates in June


Netflix to hike PH rates in June

Netflix is set to increase their rates for Philippine subscribers starting in June, following the implementation of the 12% value-added tax (VAT) on digital services provided by foreign companies.

In an advisory emailed to subscribers, Netflix said it will apply VAT to memberships, and the monthly price will be updated to the following starting June 1, 2025:

Mobile: P169 per month
Basic: P279 per month
Standard: P449 per month (additional P169 per month for every extra member slot)
Premium: P619 per month (additional P169 per month for every extra member slot, up to two)

 

Prior to the hikes, monthly rates were set at P149 for the mobile plan, P249 for basic, P399 for standard, and P549 for premium, with additional member slots at P149.

The advisory comes after President Ferdinand “Bongbong” Marcos Jr. signed into law Republic Act 12023, which imposes a 12% VAT on digital services including media, music, video, video-on-demand, and advertising.

The measure is seen to level the playing field between traditional businesses — especially those that cannot shift to a digital platform and whose nature cannot be shifted to a digital platform — and digital businesses.

Steam, developed by Valve, last month announced a price hike also due to the VAT on digital services. —VAL, GMA Integrated News