I’m not too clued up on the technicalities, but as of April 1st this year South Africans will pay 14% tax on digital purchases. So when you buy and download music, an e-book or digital copies of games etc. expect to pay 14% more than you are now. That’s according to new electronic services regulations announced by finance minister Pravin Gordhan.
The digital tax will cover everything from:
“the supply of e-books, e-music, e-films, software, images, games and games of chance, information system services, Internet-based auction services, maintenance services, educational services and the supply of an internet-based auction service facility.” [TechCentral]
HERE‘s a full list of the digital purchases that will be taxed and according to tax experts the new regulations are likely to push up the prices of digital goods as well.