Streaming platform Netflix has expressed its willingness to pay any taxes owed by it in Vietnam after it was accused of evading its obligations in this communist country.
Vietnamese Information Minister Nguyen Man Hong this week criticized Netflix and "Apple TV" for not paying taxes, noting that foreign platforms are generating about $ 44 million a year in revenue from a growing subscriber base in Vietnam.
"Some cross-border platforms did not pay taxes and did not operate according to laws, which led to unfair competition," he told Parliament Tuesday.
But a Netflix spokesman told AFP that the company complied with Vietnamese laws and was in talks with the authorities on the issue.
The platform added in a statement, "We support the implementation of a mechanism that makes it possible for foreign companies providing services such as Netflix to collect and transfer taxes in Vietnam," but "this mechanism does not currently exist."
Netflix has achieved great popularity in Southeast Asian countries and a great influence on the viewing habits of its residents, which prompted the platform to invest in locally produced shows and films such as the Vietnamese martial arts movie "Fiore".
The minister´s criticism also focused on the content provided by Netflix.
Hong said some of her shows featured "violence, drug use and pornography," in violation of the strict censorship laws that Vietnam applies to the film industry.
He also singled out a documentary about the Vietnam War, due to its "wrong view of history".
In 2017, the platform removed Stanley Kubrick´s classic film "Full Mattel Jacket" from its listings at the request of the Vietnamese government.
Vietnam hopes to build a reputation as a hub for fintech in Southeast Asia, but its strict laws governing traditional and digital media are hampering its progress in this area.
The disagreement of the Vietnamese authorities with Netflix comes as many countries in the world raised the issue of taxes related to the major Internet companies.
Sites such as Amazon, Google and Facebook have been criticized for paying taxes that appear to be pitiful compared to their huge revenues.
Spain announced this month that it was preparing legislation to impose a 5 percent tax on platforms such as Netflix and to use the money raised to support domestic production.
