

Eliminate the 12% VAT on Steam Services in the Philippines


Eliminate the 12% VAT on Steam Services in the Philippines
The Issue

I am an avid gamer and a resident of the Philippines. For me, and many like me, gaming isn't just a pastime, it's a passion. And with platforms like Steam, we are able to engage with that passion in a seamless and exciting way. However, the recent imposition of a 12% Value Added Tax (VAT) on digital services - including Steam - by the Bureau of Internal Revenue has made engaging in this hobby increasingly expensive. We believe this increase is unfair and want it removed.
VAT is a form of consumption tax placed on a product whenever value is added at each stage of the supply chain. While it is a common form of tax in many countries, its sudden implementation on digital platforms like Steam in the Philippines creates inequity for the gaming community. Especially considering that online gaming is a rapidly growing industry in this country, with a Peso volume reaching over PHP 32 billion in 2022 (source: NewZoo Global Games Market Report, 2022).
We understand that taxes are necessary for our government to function effectively. However, singling out digital services for a substantial VAT increase makes digital products and services less accessible to many Filipino consumers. Furthermore, it disproportionately affects the young population in our country, who are the major demographic using these services.
The plea here is straightforward - for the Bureau of Internal Revenue to consider the impact of this decision and rescind the 12% VAT on digital services like Steam. Let the gaming community in the Philippines continue to grow and thrive without the burden of excessive taxation.
- We urge every concerned citizen and fellow gamer who believes in fair and equitable taxation to sign this petition in support.

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The Issue

I am an avid gamer and a resident of the Philippines. For me, and many like me, gaming isn't just a pastime, it's a passion. And with platforms like Steam, we are able to engage with that passion in a seamless and exciting way. However, the recent imposition of a 12% Value Added Tax (VAT) on digital services - including Steam - by the Bureau of Internal Revenue has made engaging in this hobby increasingly expensive. We believe this increase is unfair and want it removed.
VAT is a form of consumption tax placed on a product whenever value is added at each stage of the supply chain. While it is a common form of tax in many countries, its sudden implementation on digital platforms like Steam in the Philippines creates inequity for the gaming community. Especially considering that online gaming is a rapidly growing industry in this country, with a Peso volume reaching over PHP 32 billion in 2022 (source: NewZoo Global Games Market Report, 2022).
We understand that taxes are necessary for our government to function effectively. However, singling out digital services for a substantial VAT increase makes digital products and services less accessible to many Filipino consumers. Furthermore, it disproportionately affects the young population in our country, who are the major demographic using these services.
The plea here is straightforward - for the Bureau of Internal Revenue to consider the impact of this decision and rescind the 12% VAT on digital services like Steam. Let the gaming community in the Philippines continue to grow and thrive without the burden of excessive taxation.
- We urge every concerned citizen and fellow gamer who believes in fair and equitable taxation to sign this petition in support.

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The Decision Makers
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Petition created on March 26, 2025