Internet Reacts to Harper’s “No Netflix Tax” Announcement
Although Harper’s Netflix promise generated vast amounts of online ridicule Thursday, technology law commentator Michael Geist warned in a blog post that talk of a Netflix tax is not “much ado about nothing”.
“Always have been, always will be”, Conservative leader Stephen Harper said in the video, shot while standing in front of a television screen bearing the fire-engine red Netflix logo.
Harper who is dressed in a navy suit, blue tie and white shirt, says “Something you may not know about me is I love movies and TV shows”.
Canada’s ruling Conservative Party wants to make the “Netflix tax”-a proposed sales tax on the streaming video service’s subscription fees-a major issue in the campaign”.
Nevertheless, a Netflix tax has indeed been on the drawing board in some corners of Canada – not least from the Harper government itself.
Harper claims that both Trudeau and Mulcair “have left the door wide open” to the introduction of a Netflix tax.
Harper said: “The Home Renovation Tax Credit has been recognized as having helped Canadian consumers avoid the risks of the underground economy, while at the same time reducing their taxes”.
A Liberal spokesman told a Global News “any suggestion that the Liberal party supports a Netflix tax is nonsense”. “They said they would never bring in an iPod tax… and they brought in an iPod tax”. “Only our party can be trusted not to bring forward a new Netfix tax”. I think Canadians have every reason to be anxious based on Mr. Harper’s past behaviour.
“Every time he promises not to tax something that is actually a clue that that’s something he is going to tax”.
During a campaign stop in Toronto on Thursday, Mulcair said the NDP have no plans to usher in a Netflix tax.
Canadian online services such as Shomi and Crave, however, are obligated to.
Unlike Netflix, Canadian TV channels and radio stations are mandated to broadcast a minimum of Canadian content, and to provide payments to producers of Canadian media.
Netflix says it’s not required to charge GST to Canadian customers because the company has no employees or assets in Canada. However, a line in the 2014 federal budget shows the Conservatives were seeking input from consultants on the possibility of taxing “e-commerce sales to Canadians by foreign-based vendors”.
The Governments of Ontario and Quebec have been more specific. But on Thursday, the province disavowed the notion.
“It is irresponsible of the Harper Conservatives to intentionally mislead the public on this”.