Online services like Netflix, Steam, and Spotify are going to be taxed by the Government starting January 2020, announced Finance Minister Lim Guan Eng while tabling the Pakatan Harapan government’s inaugural budget in the Dewan Rakyat.
Under the new tax, online services imported by users will be required to register with the Customs Department.
This includes software, music, videos, or any digital advertising. Among the services/companies that will be affected are Netflix, Steam, Spotify and others.
When announcing the budget for transportation, the Finance Minister stated that travellers will soon be taxed for overseas flights. According to his announcement, for passengers flying to ASEAN countries, the government will impose a tax of RM20 while those flying to other countries will be taxed RM40. This tax will be implemented on 1st June 2019.