Apple faces French claim for unpaid royalties levy on iPod

“A French association representing recorded music rights holders threatened Wednesday to take Apple Computer Inc. to court in a dispute over lost music royalties,” The Associated Press reports. “The argument centers on a fee levied in France on sales of blank CDs, tapes, hard disks and other hardware that can be used to copy music. The proceeds go to musicians and other rights holders who lose money to piracy.”

The Associated Press reports, “The Society of Music Creators, Composers and Publishers, or Sacem, accuses Apple of consistently refusing to pay the levy on sales of its iPod music player, which contains a hard disk drive. In a statement, Sacem said that unless Apple settles its growing account, the agency that collects the payments ‘will have no other option than to go immediately to court to make sure that the rights of artists, composers and producers are respected.’ Efforts to get comment from Apple’s French subsidiary or its California headquarters were not immediately successful.”

Full article here.

50 Comments

  1. This tax is stupid. as well as for the other countries that does it.
    Whats next special taxes on VCRs, DVRs, DVDRs, etc etc. Maybe a special tax on printers cause you could print out pictures of the mona lisa.

    Instead of putting taxes on the items that can be used to play an music, movies etc. How about delivering it to people in the format that they want and at a reasonable price. This just gives more justification to the end user to conduct more piracy, because you are laready being taxed, weather you actually commit “piracy” or not. You are in effect presumed guilty.

    BLAHHH

  2. In Canada, because of a similar tax, it is legal to download MP3’s for free. It is only illegal to make MP3’s on your computer available for upload. Downloaders will not be charged here.

  3. Typical liberal tax. A mistake. The lower the taxes, the more business gets done and, ultimately, the more tax revenue the government will receive. On this, Bush is right. Greenspan agrees.

  4. Oh my Goz, Thoz freunch Zey Zink that a little tax”eu” will prevent iPod from being popular in France.

    Read this with a french from France accent….

    It is not because you are, it is because I am!

  5. These kinds of laws are silly (at best). Are they going to tax paper and pencils and pens because I might jot down some lyrics?

    If I am already paying these taxes on some items, then do I have the paid right to steal (some amount of) music since I have already paid for it?

  6. All they need to do (both in France and in Canada) is do what other vendors are doing… put 1 song on the damn thing and it no longer qualifies for the tax as it is not blank media anymore!

    Just a thought.

  7. Greenday’s cover of “I Fought The Law”? ;^)

    I agree with Jeff. Don’t sell the iPod in France. Francs can go to another country and buy one. Zip across the Chunnel, buy an iPod, zip back out — it’s like going to Wisconsin!

  8. Yup, Apple is right in not paying that stupid tax! It really makes no sense at all! And I hate to be painted as “quilty” before I even listen to one song!

    In the Netherlands there is a likewise tax on CD-R’s, heck, there was even such a tax on empty tapes. I hate it, since I don’t even use them to burn music on it! Yuck!

  9. They’re trying to claim royalties on BLANK CDs and tapes? How will that stand up in court? Just take a bunch of blank media to court and tell them to prove that their music is on it. When they can’t, then counter sue for false representation, extortion, racketeering, etc., etc. Then again, the French government is used to giving their people something for nothing (subsidies, for instance). Just another reason to hate the French I guess. ” width=”19″ height=”19″ alt=”smile” style=”border:0;” />

  10. Hmmm. So because it’s France, it’s OK to break the law there or not pay taxes that are due? A lot of people here are vehemently against stealing music and in favour of fair use rights. Just because you disagree with the law, it doesn’t mean you should advocate breaking it and coming out with tired and pathetic freedom fries and surrender jibes.

    Now, I doubt that the tax would apply in this case, unless they apply it to all hard drives too. I agree that it’s not a particularly well thought out tax. But if France say it applies, it applies.

    You can’t individually or as a corporation pick and choose which taxes you should pay. Your government tells you what taxes you should pay and you should pay them. Of course there’s nothing wrong with minimising your tax burden legally, but it remains to be proven that Apple are doing that.

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