A New Tax On Ringtones In Canada

As if ringtones aren’t overpriced as it is! Now, the Copyright Board of Canada has set a Tariff rate of 6% on the price paid for ringtones. This decision was made in response to a request by the Society of Composers, Authors and Music Publishers of Canada (SOCAN) who were seeking to hand consumers the short end of the stick royalty payments on the delivery of ringtones in Canada. Don’t those guys already get a cut of each ringtone sale? You bet they do. Ringtone providers have always compensated rights holders (artists and publishers) for the reproduction of their works made for ringtones. This Decision now requires an additional fee payable to SOCAN for the delivery of the ringtone from the supplier to the handset. Details are here. [via CWTA]