Treasurer, Joe Hockey, foreshadows "Netflix tax" in 2015 budget

Tax will provide a level playing field for Australian digital merchants

Treasurer, Joe Hockey, foreshadows "netflix tax" in tomorrow's budget.

Treasurer, Joe Hockey, foreshadows "netflix tax" in tomorrow's budget.

Treasurer Joe Hockey has confirmed the Federal Government plans to extend the goods and services tax to digital products ahead the 2015 budget.

The so-called "Netflix" tax will target merchants of digital products such as software, streaming services, digital books and music and is projected to reap the government about $350 million over four years.

Hockey said a "tax integrity" measure would ensure that the suppliers of digital products and services into Australia charged the GST on products.

The GST only currently applies to imported physical goods valued at more than $1000.

This threshold will now apply to digital products.

However, the government has opted against lowering the threshold across the board, as it would be to costly to enforce.

The proposed changes to the tax act will target 30 companies and will not be introduced before July 1 this year.

Hockey said the government would consult with business before introducing the new tax.

"One of the things I'm concerned about is unintended consequences, particularly for Australian businesses."

Local companies will now be more competitive on price as they will have a level playing with companies who previously did not have to pay a 10 per cent GST.

Join the Good Gear Guide newsletter!

Error: Please check your email address.

Tags joe hockeyBudget 2015

Our Back to Business guide highlights the best products for you to boost your productivity at home, on the road, at the office, or in the classroom.

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.
Show Comments

Cool Tech

Crucial Ballistix Elite 32GB Kit (4 x 8GB) DDR4-3000 UDIMM

Learn more >

Gadgets & Things

Lexar® Professional 1000x microSDHC™/microSDXC™ UHS-II cards

Learn more >

Family Friendly

Lexar® JumpDrive® S57 USB 3.0 flash drive 

Learn more >

Stocking Stuffer

Plox Star Wars Death Star Levitating Bluetooth Speaker

Learn more >

Christmas Gift Guide

Click for more ›

Most Popular Reviews

Latest News Articles

Resources

GGG Evaluation Team

Kathy Cassidy

STYLISTIC Q702

First impression on unpacking the Q702 test unit was the solid feel and clean, minimalist styling.

Anthony Grifoni

STYLISTIC Q572

For work use, Microsoft Word and Excel programs pre-installed on the device are adequate for preparing short documents.

Steph Mundell

LIFEBOOK UH574

The Fujitsu LifeBook UH574 allowed for great mobility without being obnoxiously heavy or clunky. Its twelve hours of battery life did not disappoint.

Andrew Mitsi

STYLISTIC Q702

The screen was particularly good. It is bright and visible from most angles, however heat is an issue, particularly around the Windows button on the front, and on the back where the battery housing is located.

Simon Harriott

STYLISTIC Q702

My first impression after unboxing the Q702 is that it is a nice looking unit. Styling is somewhat minimalist but very effective. The tablet part, once detached, has a nice weight, and no buttons or switches are located in awkward or intrusive positions.

Featured Content

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?