Friday February 24, 2017

Steam Tax Coming to Ten Countries and More on the Way

Valve is going to be adding a tax to purchases on it's Steam platform for some countries. In Australia it is a 10% Goods and Services tax, but in others it might be more or less as it depends on locale. This doesn't mean that the price of games will go up though; the publishers and Valve could choose to absorb the tax into the price of the games. If it comes to the USA, I can only imagine Valve trying to figure out every state, town and county's tax code. PC Gamer suggests that it might be related to the "suggested anti-competitive" from the European Commissioner's recent investigation.

  • Switzerland 8%

  • South Korea 10%

  • Japan 8%

  • New Zealand 15%

  • Iceland 24%

  • South Africa 14%

  • India 15%

  • Serbia 20%

  • Taiwan 5%

  • Australia 10%

News Image

Steam users who live in other jurisdictions may eventually face the added taxes as well: As reported by PCGamesN, Valve said in the email that "we expect to add other individual countries over the course of 2017-2018, depending on applicable law." As to why Valve is making these changes now, it may be tangentially related to the European Commission's investigation into "suspected anti-competitive practices." That investigation, which also includes Bandai Namco, Capcom, Focus Home, Koch Media, and ZeniMax, is focused on whether the use of region-locked activation keys violates EU rules on "parallel trade," but it may also have convinced Valve to make doubly sure that it's in full compliance with rules across the board.