Parlament’s comittee drafts bill on taxation of Netflix and YouTube video services

Source : 112 Ukraine

MPs want to tax social networks and providers that are available nationwide
09:15, 14 November 2019

Open source

Verkhovna Rada’s Committee on Humanitarian and Information Policy, headed by Oleksandr Tkachenko, is drafting a bill on taxation of video services for the sale such as Netflix and YouTube. Tkachenko informed about it at the presentation of the bill, Ukrainian News reports.

"The subjects that should be regulated by this law are, in fact, audiovisual networks, traditional linear media - television and radio; non-linear media. They are not regulated by the current legislation. Still, non-linear services like Megogo, Netflix and others are not limited to them," Tkachenko said.

According to him, the document is aimed at the implementation of European Union norms. The bill also provides economic regulation of the work of the media, social networks and providers.

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Tkachenko states that public access platforms should receive income on the territory of Ukraine and also pay taxes here. The bill will cover services available in Ukraine and those that can be paid for by the residents with offices in the country.

"It is also necessary to answer the questions of ownership transparency, control and order of reporting in the structure of ownership, licensing and registration, content, namely - language, protection of minors, etc," Tkachenko explained.

In addition, the law will apply to the National Council for Television and Radio Broadcasting.

"There is such a norm in the European Union and, in fact, Netflix must produce at least 30% of products, which were created in the EU. The same question arises about the language. Ukraine is not the brightest market for providers to engrain Ukrainian language yet, but we want it. Otherwise, these providers will be limited mainly to the Russian language," Tkachenko noted.

Related: Information Policy Committee accepts concept of new media law for work

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