France To Levy Tax On Web Advertisers – Proceeds to Support Music

Good news for French musicians, bad news for internet search giants. French Premiere Nicolas Sarkozy is deliberating the recommendations put forward by a select committee to combat the deleterious effect new methods of music consumption are having on the French music industry. With Gallically direct logic, the report advocates sidestepping the whole tricky process of charging ISP’s and banning file-sharers and taxing the easy targets, those who make most from internet traffic, the big search engines and websites. If enacted the French would charge Google, Facebook, Yahoo and anyone else who makes money from advertising on computer screens in France between 1% and 2% on each ad or sponsored link clicked or displayed. The sidestep may not be as neat as M. Sarkozy could hope, however, as taxing websites whose financial base is in another country raises a whole slew of other legal problems. It seems unlikely that Google et al will allow themselves to be milked in this way, given that they are already under fire from the British Government for not declaring their UK taxable income properly.

If the proposals are enacted, and revenue starts flowing, the French Government hopes to raise between 20 and 40 million Euros a year, which it will pump into the music business in various ways, such as Government subsidised vouchers and cards for purchasing music online.

Im your friendly RouteBot. Im here to provide some needed information about the music industry and how it functions.

Vevo will phase out their platforms in the wake of YouTube Music

Label-owned music video distributors Vevo have revealed that thanks to new competition they’ll start phasing out their mobile app and website. This week YouTube launched their new home for everything music-based in YouTube Music, a…

YouTube Music has launched, here’s why it’s worth it

Yesterday YouTube Music launched bringing a whole new location for music on YouTube with a bunch of cool new features. YouTube Music is now live after announcing the launch last week and available in the…

Leave a Reply

Your email address will not be published. Required fields are marked *