JAKARTA – The government has officially imposed a digital tax on Netflix since August 1. As a result, the video subscription rates are more expensive than before, aka soaring.
New customers will be charged the tariff after being taxed. However, for existing Netflix customers, the price change will be implemented in September.
“For old customers, this tariff adjustment will be applied to the next bill (September). We have started to convey information related to this change in fees to our old members,” said a spokesman for Netflix Indonesia, Sunday, August 2.
The Directorate General of Taxes (DJP) of the Ministry of Finance (Kemenkeu) officially appointed six digital-based international companies as collectors, reporters, and value added tax (VAT) depositors for digital goods and services they sell in Indonesia.
“With this new regulation, the digital products and services sold by the six business actors will be subject to VAT starting August 1, 2020,” said Director of Service and Public Relations Counseling of the DGT, Hestu Yoga Saksama recently.
The six business actors include Amazon Web Services Inc, Google Asia Pacific Pte. Ltd, Google Ireland Ltd, Google LLC, Netflix International BV, and Spotify AB.
“With the implementation of this tax collection, the amount of VAT that must be paid by buyers is 10 percent of the pre-tax price, and must be stated on the receipt or receipt issued by the seller as proof of paying VAT,” added Hestu.
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List of Latest Netflix Packages
Mobile Package
The tariff on this Mobile package is the cheapest tariff among others, but users on this package cannot enjoy high-resolution (HD) quality and can only watch on one smartphone device. Previously, this package had a price of IDR 49,000, but now it’s IDR 54,000.
Basic Package
By subscribing to this package, users can watch only one screen that can be watched at the same time. Customers can view them on laptops, TVs, cellphones and tablets, unlimited movies and TV programs. Unfortunately, this Basic Package does not support HD or Ultra HD movie quality. The latest tariff for the Basic Package is IDR 120,000 from the previous IDR 109,000.
Standard Package
Even though it is fairly expensive, the Standard Package rate gives users access to the Netflix service on all devices. Simultaneously, this package allows the user to watch on two screens of the device. Of course different from the previous two packages. The new tariff offered is from Rp.139,000 per month to Rp.153,000.
Premium Package
Only in this package users can enjoy good movie quality or HD to Ultra HD. Not only that, users can also access Netflix services on up to 4 devices at once. Even so, the price paid is also quite expensive. Customers have to spend Rp. 186,000 from the previous Rp. 169,000 per month.
The English and Chinese versions are automatically generated by the system. So there may still be inaccuracies in translating, please always see Indonesian as our main language. (system supported by DigitalSiber.id)
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