The Ministry of Economy and Finance (MEF) has taken an important step in the regulation of digital services in Peru, by adjusting the regulations of the General Sales Tax Law (VAT) and the Selective Consumption Tax (ISC) to include streaming platforms and other digital services.
Through Supreme Decree 157-2024-EF, published today in the Official Gazette “El Peruano”, the necessary rules are established for the correct application of the VAT to the use of these services in the country, as well as to the importation of intangible goods via the Internet.
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This measure, which will come into effect the day after its publication, aims to modernize the tax framework and ensure that foreign companies operating in the digital sphere contribute to the public treasury to the same extent as local companies.
The MEF has projected that the revenue derived from this tax adjustment will reach 600 million soles in the first year of implementation, with the expectation that this figure will rise to 1,000 million soles annually as the system stabilizes and the platforms adjust their business models to comply with the new tax obligations.
Popular services such as Netflix, Spotify, Amazon Prime, and Disney+ will be among those most affected by this regulation, which could translate into a price adjustment for local users.
However, the MEF has stressed that this measure is necessary to ensure fairer competition between local and international digital service providers and to strengthen the State’s tax collection capacity in a context of increasing digitalisation of the economy.
