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Portugal Is The First Country In The EU To Adopt A New Law - Streaming Services Will Have To Pay

Few days ago, the "Cinema Law" was approved by the Portuguese Parliament, which determines the application of a 1% fee on the billing of on-demand streaming services, such as Netflix, Disney + or HBO, as well as platforms sharing videos like YouTube.

These services, which were not subject to the payment of fees in Portugal, are now subject to the payment of 1% tax and are now also subject to the Portuguese rules on advertising. 

The new “Cinema Law” results from the transposition of the Audiovisual Media Services European Directive, which dates from 2018. With this law, it is expected that the collection of the new rate of 1% on the billing of different video on demand services, and platforms of sharing videos, starts to finance the Portuguese Institute of Cinema and Audiovisual.

In this way, this Institute will now be now financed in 3 ways: by the Portuguese State, exhibition fees and this 1% tax.

Video sharing platforms and video-on-demand services must also start to prevent the spread of hateful content, or that are harmful to children and young people.

And platforms will have to find a way to ensure that the content generated by users complies with these rules.

The law also obliges the subscription services of TV channels and video sharing platforms to limit the display of pornographic content for the period between 00:00 and 6:00.

“The television broadcast of any other programs that may have a negative influence on the formation of the personality of children and young people must be accompanied by the permanent dissemination of an appropriate visual identification and can only take place between 24 hours and 00 minutes and 6 hours”.

The new law also creates new rules for canceling TV subscription services.

Opinions on the new law are diverse, but there is hope that the millions that will arrive with this law could be the salvation of Portuguese cinema, which has lived in a highly precarious situation for a long time, thanks to the small investment made in culture by the Portuguese State.

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Filipe Consciência's picture

Born in Lisbon, Portugal, in 1984, Filipe Consciência did his entire education in Lisbon, entering with 17 years at the Law Faculty of Lisbon University.

After graduating, and before entering the legal labor market, Filipe Consciência accepted the position of employee of a car stand, having in just a few months become department manager and later responsible for two car stands.

In September 2008, Filipe Consciência started working in the office of Pragma founder, Cecília Caria Mendes, beginning  to work with Pragma right away.

Over the years Filipe Consciência has specialized in consumer, labour and commercial law, and also in real estate.

After actively participating with Cecília Caria Mendes in the discussion and drafting of the law that allows the attribution of Portuguese nationality to descendants of Portuguese Sephardic Jews, since 2015 that Filipe Consciência has been responsible for the office's nationality department, having already delivered several thousand requests for attribution of Portuguese nationality, with great success.
In 2017, Filipe Consciência was invited to become Associate of Caria Mendes Advogados.