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Spain looking to tax international OTT players

June 27, 2019 10.15 Europe/London By Robert Briel

The Spanish government is looking to introduce a new media tax which will also hit international players such as Netflix and HBO.

The government is preparing to adapt the European Audiovisual Media Directive (AVMSD) adopted a year ago in Brussels, which enshrines the principle of equality between operators, regardless of the service they provide and the platform they use to better protect viewers, encourage innovation and promote European audiovisual content.

In practice, this means applying to new streaming television operators (OTT) such as Netflix, HBO, Sky, Filmin, DAZN or Amazon Prime Video, the same specific taxes paid by other broadcasters such as Atresmedia, Mediaset, and pay-TV operators such as Movistar+, Vodafone TV and Orange TV.

The aim of the Spanish Treasury is for these new OTT platforms to match their tax burden with these traditional players, i.e. to contribute 5% of their operating income to finance European cinema and 3% of their gross income to finance public broadcaster RTVE. Additionally, telecommunications operators pay an extra 0.9% for public television, in addition to paying 3% in the case of those with television services.

At the moment, the Treasury is preparing the document with the main conclusions of the public consultation that ended on February 22, in which it asked the entire ecosystem what the new financing system for the sector should look like. Now it is time for the public hearing in which the sector will give its opinion again, this time on a formal text prepared by the Ministries of Economy and Finance.

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Filed Under: Editor's Choice, Newsline, Regulation Tagged With: Netflix, RTVEHBO, Spain, tacation Edited: 28 June 2019 10:03

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About Robert Briel

Arnhem-based Robert covers the Benelux, France, Germany, Austria and Switzerland as well as IPTV, web TV, connected TV and OTT. Email Robert at rbriel@broadbandtvnews.com.

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