Sen. Franklin Drilon said instead of regulating Netflix and other streaming platforms, the MTRCB should continue to allow them and other media to self-regulate content.
The Department of Finance and the Bureau of Internal Revenue are currently crafting regulations and designing a system to collect VAT on digital transactions to help the government raise revenues.
Sen. Ramon “Bong” Revilla Jr. made the suggestion in a Senate resolution that was filed a day after Albay representative Joey Salceda proposed the imposition of tax on Netflix and Facebook ads, among other Internet firms, as a way of generating revenues for the government.
Despite the booming market for video-streaming services brought about by the Covid-19 pandemic, regional streaming site Hooq formally closed down its operations on Thursday, April 30. Its CEO, Peter Bithos, served as chief operating officer of Globe Telecom from 2010 to 2015.
The government said the move of Netflix will help free up bandwidth that could be allocated towards other vital online services until telcos and Internet service providers (ISPs) can fully adapt to the demand for streaming services.
Sen. Sherwin Gatchalian has urged the MTRCB to exercise prudence in classifying movies and contents being streamed on different platforms, including online streaming providers like Netflix and Amazon Prime.
Netflix has also dramatically increased its origination outside the US, with 402 hours launching last year.