#Steam vat

The mandated 12 percent Value-Added Tax (VAT) for digital services is now in effect. However, Steam prices haven’t been impacted just yet. In case some readers missed it, the 12 percent VAT on foreign digital service providers. While this is certainly good for local businesses, the VAT rate is higher when compared to neighboring countries. For now, gamers in the Philippines can breathe a sigh of relief as publishers have accounted for the VAT for now. Steam has officially confirmed that all Steam purchases made in the Philippines will be subject to 12% value-added tax (VAT) starting June 1, 2025. The VAT applies to all game titles as well as in-game purchases and downloadable content (DLC), which are classified as digital transactions. Notably, the VAT will be inclusive, meaning the tax will be displayed upfront rather than added at checkout. Read more in our articles including "Steam prices unchanged for now, 12 percent VAT now in effect" and "Steam to add 12% VAT on purchases in PH starting June 2025".