Effect of (VAT) Imposition on Purchasing Power for (OTT) Services Among Students

This study aims to investigate how the Value Added Tax (VAT) implementation influences the purchasing power of students in utilizing Over-The-Top (OTT) services at the Islamic University of Kadiri (UNISKA) Kediri. OTT services, which were previously enjoyed without any tax burden, have undergone price adjustments following the government's implementation of VAT policies, directly affecting digital consumption behavior, particularly among students as active users. This research adopts a quantitative approach using a survey method involving 60 student respondents selected through accidental sampling. Using SPSS version 25, the analysis includes basic linear regression, instrument testing, and traditional assumption testing. The findings show that students' purchasing power for OTT services is significantly impacted by the VAT implementation.