June 20, 2005
Composers will ask for tax on ringtones
As downloading ringtones for cellphones becomes a habit for more and more people, pushing revenues for the sounds higher and higher, composers are demanding a slice of the pie, according to The London Free Press.
"On Tuesday the Society of Composers, Authors and Music Publishers of Canada (SOCAN) will present its case for a tax on ringtones before the federal Copyright Board.
The group is arguing that those who create music should be able to reap any benefits that come from new uses of the songs.
"It's a brand new use of music," said Paul Spurgeon, counsel for SOCAN. "As a result it requires a payment for that use."
If accepted, the tariff would cover everything "from bleeps and blips to the actual MP3 of a song," he said.
SOCAN wants to collect 10 per cent of the revenue from ringtones with a minimum fee of 20 cents each.
It's also seeking a 15 per cent tariff on ringbacks -- the sound a caller hears while waiting for someone to answer their phone. "
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