In an email sent out to developers, Steam has confirmed it will be adding the 10 per cent Goods and Services Tax to all purchases made in Australia in July. The end result? Steam games will almost certainly become more expensive in Australia.
It’s part of a roll out across multiple different countries. Starting in March, for example, Steam will be adding sales to taxes to Switzerland, South Korea, Japan, New Zealand, Iceland, South Africa, and India.
Australia’s rollout is slated for July.
According to the email sent from Steam:
The VAT tax amount will be included in the advertised price of your product, just like VAT is currently treated in the EU. This means the customer will pay the price displayed on the storefront, and the tax will be separated out afterwards.
It is possible that publishers will adjust Steam pricing to match retail pricing of PC games, but unlikely. The end result of this move: Australians will almost certainly be paying more for video games on Steam, 10% more.
Buying Steam games was already pricy for Australians, it’s now about to get worse. The only possible silver lining: will localised pricing in Australian dollars come next? We’ve reached out to Valve to ask if that’s the case. We’ll update if we hear back.