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How to help prop up the ailing music industry? Tax Google, suggests a new report commissioned by the French government. The report (...) says Google, Yahoo! and other Internet portals should be slapped with a new tax on their online ad revenues in France to fund the development of legal outlets for buying books, movies and especially music on the Internet.
Here's a similiar example; a tax on blank CD's designed to combat piracy:
Scroll down to the section on Canada. It seems Canada has a levy on blank CD's, where that money gets paid back to the artists who are presumably getting ripped off. But here's the really interesting part:
In conjunction with the levy, the Copyright Act allows individuals to make copies of sound recordings for their own private, non-commercial use. They may not distribute the copy.
you can legally copy your friend's music CD for YOUR OWN use.
So here's the synopsis. Tax put on blank media. Result is Canadians can download music and copy CD's *for free and legally*.
Those Canadians sure have it good! Well, other than the part about having to live in Canada.
Clicks from users in France would attract the tax. (BBC World report)
Funds raised from the levy could raise up to 20 million euros ($29 million) a year to help finance projects to boost online cultural content and to pay artists,
I'm sure many other finance ministers will be greedily watching this proposal.
Seems a bad thing for any site that either has significant online ad spend - or generates income from online ad placement - and a terrible thing for those that rely on both.