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Posts with tag taxes

Canada's Copyright Board slaps tax on music downloads

Just a few months after it deemed it suitable to reinstate a levy on digital audio players, the Copyright Board of Canada looks set to stir things up once again, with it now ruling that music downloads should be taxed as well. That decision comes after the Society of Composers, Authors and Music Publishers of Canada (or SOCAN) had pushed for such a levy, a position the Copyright Board appears to have sided with entirely. Under the new rules, online music stores will have to pay 3.1 cents for each individual track and 1.5 cents per track for entire albums sold directly to SOCAN, which will in turn distribute the funds to the artists. Sites that offer temporary downloads or customizable radio stations will also be facing taxes, although the board hasn't yet released a decision for those that offer music on personal websites. What's more, according to CanWest News Service, the levies will be retroactive all the way back to 1996, which is when the music industry first started pushing for the tariffs.

Spaceport America overcomes major hurdle


In an important step towards that glorious future of half-hour flights to the Akihabara district and welcoming the first members of the hundred-mile high club, voters of a southern New Mexico county selflessly approved a measure to impose a new tax on themselves and in the process give the governor's proposed 27-square mile space tourism launchpad a big push forward. The $198 million project, if given final approval, will be situated near the White Sands Missile Range in Otero County, one of the two remaining counties -- along with Sierra -- that must follow Doña Ana County's lead in imposing a quarter of one percent gross receipts tax for a crucial partial matching of state funds. Once all the financing and regulatory hurdles are overcome, Richard Branson's Virgin Galactic -- the anticipated anchor company of the tentatively-titled SPaceport AMerica (or SPAM, as we like to call it) -- will begin offering sub-orbital flights in 2009 for a reported $200,000 a head, ensuring that our colleagues over at TMZ will have plenty of "celebrities behaving badly in space" stories to cover. Still, the project is not in the bag quite yet, and with critics in those other two counties calling SPAM a waste of money and an undue burden on some of the state's poorest regions, it looks like this one might really come right down to the wire.

[Via ABC News]

IRS to refund federal excise tax on long-distance calls

Getting the government to send you a $30 tax refund isn't quite as good as finding $30 that you didn't know you had in a pair of jeans, but we'll take it nonetheless. Yesterday, the IRS announced that it is refunding the "federal excise tax", or a tax collected on long-distance telephone calls made on landlines, VoIP lines, and cell phones for calls made from March 2003 until August 2006. Consumers can expect to claim a $30-$60 refund on their 2006 tax returns, and if as many people claim the refund as the IRS estimates, the American public will reap a total of $10 billion. Now that this is settled, that leaves one problem remaining: being that this tax was first put in place to fund the Spanish-American War (yeah, the one that ended over 100 years ago), which made us wonder -- what if we go to war with Spain again?

[Via The Associated Press]

Spain cracks down on file sharing

It's a sad day for Spanish content pirates, as formerly lax laws allowing P2P file sharing for personal use have just been overturned in favor of strict new rules that make file swappers financially liable for any unauthorized downloading they partake in. Furthermore, the new regulations -- which, unsurprisingly, have been blessed with the MPAA's seal of approval -- also hold ISPs accountable for the P2P activity of their customers, which could be seen as an incentive for service providers to block what they consider suspicious traffic. Even regular law-abiding citizens will be affected by the recent crackdown, as a small tax will now be levied on all blank media to reimburse copyright holders for earnings lost to piracy. While we're totally in support of intellectual property owners getting paid for their content, we worry that these tough new rules will discourage and even prohibit the many legitimate uses of P2P networks that have nothing to do with stealing movies and music -- as usual, a few  bad apples (well, maybe more than a few) have caused everyone else to suffer.

[Via Slashdot]

FCC ruling could mean higher VoIP bills

A new plan by the FCC to keep the Universal Service Fund stocked in anticipation of the coming August exemption for DSL providers will likely lead to higher VoIP bills for consumers. The agency has ruled that companies like Vonage and SunRocket who offer Internet telephony services must now pay 7% of their revenue into the fund -- used to subsidize rural and low-income phone service -- which has been traditionally been stocked by taxing POTS and DSL providers at a rate of 10.9%. However, since DSL providers have been let off the hook for this program, the FCC needed to make up for the shortfall, so the agency both instituted the VoIP component and raised cellular carriers' contribution from 3% to 4%. Since providers tend to pass new costs on to the consumer, we can probably expect to see higher VoIP bills in the near future, but luckily the recent repeal of that Spanish-American war-era excise tax should mostly balance things out on the cellphone side of things.



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