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In The News


OH CANADA!, 
Canada to TAX MP3 Players $21CAD per GB!

Seems The Canada copyright office is listening to the IFPI, the CRIA, And The RIAA.

They have issued a proposal to put a tariff on all recordable media for 2003-2004 that can be used for audio recording. This includes MP3 Players that are hard drive based such as the Archos Players (more on that later). Canadians will have to pay an outrageous amount of tax on almost every form of recordable or removable media and non removable media. Comments and objections are due by May 8th 2002. The rules are slated to go into effect Jan 1, 2003. What is worse the tax would be distributed as they see fit, no one is specifed. Want to be the first 5 filers to receive these funds are AOL Time Warner, Vivendi/Universal, BMG, Sony, and EMI?

Some would point out that in the US we have the AHRA. But those rates are not anywhere near those listed below, and don't cover audio cassettes, compact flash, SmartMedia, or hard drive based MP3 players. The rate in the US is approx 2% on Music CDs, and about $2.00US per CD recorder.

If you are Canadian, I would suggest buying you MP3 Players this year. Because Next year they will be out of sight price wise.
As an example: A $584 CAD (US $369) 20 gig Archos MP3 player would have $420 CDN (US $265) worth of tariffs levied upon it, making the price $1004 CDN! (US $63

 

Section 3

(1) Subject to subsection (2), the levy shall be:

(a) 60¢ for each audio cassette of 40 minutes or more in length;

(b) 59¢ for each CD-R, CD-RW or each unit of any other type of recordable or rewritable compact disc of 100 megabytes or more of storage capacity;

(c) $1.23 for each CD-R Audio, CD-RW Audio or MiniDisc;

(d) 0.8¢ for each megabyte of memory in each removable electronic memory card, each removable flash memory storage medium of any type, or each removable micro-hard drive;

(e) $2.27 for each DVD-R, DVD-RW, DVD+RW, DVD-RAM or each unit of any other type of recordable or rewritable DVD;

(f) 2.1¢ for each megabyte of memory in each non-removable electronic memory card or each non-removable flash memory storage medium of any type incorporated into each MP3 player or into each similar device with internal electronic or flash memory that is intended for use primarily to record and play music;

(g) $21 for each gigabyte of memory in each non-removable hard drive incorporated into each MP3 player or into each similar device with an internal hard drive that is intended for use primarily to record and play music. (approx. $13.26 USD per GB)


In accordance with the provisions of the same subsection, the Board hereby gives notice that any person who wishes to object to the statement may file written objections with the Board, at the address indicated below, within 60 days of the publication of this notice, that is, no later than May 8, 2002.


CLAUDE MAJEAU
Secretary General
56 Sparks Street, Suite 800
Ottawa, Ontario
K1A 0C9
(613) 952-8621 (Telephone)
(613) 952-8630 (Facsimile)
majeau.claude@cb-cda.gc.ca (Electronic mail)

 
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