The Internal Revenue Service of Chile (SII) issued a draft circular outlining the Service's interpretation of the practical application modalities of the country's newly introduced VAT on digital services. The tax, locally dubbed the "Netflix tax", will become effective from 1 June 2020, and consists of the application of VAT at the standard 19% rate on services supplied by digital platforms. The draft circular sets out SII's position with respect to several issues raised by the application o…