Thursday, October 13, 2005

Europeans are taxed twice for online music

A Reuters newswire article by Lucas van Grinsven, via Yahoo! News, reports that:

European consumers are paying music labels and artists twice when downloading digital content on the Internet, which is set to lead to a sharp increase in double taxation, a study found on Thursday.

Most European countries have added special levies on electronic storage items such as recordable compact discs, DVD discs, MP3 players, hard disk recorders and computers, to compensate artists for uncontrolled copying of their work over the Internet.

However, consumers are increasingly buying music and other digital content on the Internet in shops such as Apple's iTunes Music Store where a percentage of the price flows directly to the music publisher and artists.

"That means European consumers are forced to pay usage rights multiple times for the same music: at the download point, and through taxes imposed on their equipment," the Business Software Alliance (BSA) said in a statement.

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