UK's CDR Slams German Copyright Levy Plans For PCs

by Robin Pilgrim, LawAndTax-News.com, London

18 March 2003

In a statement released last week, the UK's Campaign for Digital Rights (CDR) condemned a German plan to levy a 12 euro tax on the manufacture of PCs in order to compensate copyright holders for copyright infringement by computer users.

The levy, to be imposed under a three-year old law- represents part of the European Union's drive to bring its copyright laws into line with those of the United States. With the exception of the UK, Ireland, and Luxembourg, many EU member states already apply taxes on the sale of photocopiers, video recorders, and blank cassettes in order to compensate copyright owners for revenue lost through illegitimate copying.

Although the UK has, thus far, rejected the possibility of imposing such a levy on the manufacture of PCs, the CDR warned that other EU members may follow Germany's lead.

'This is just another attempt to exploit new copyright laws to make consumers subsidise record companies, which are really the dinosaurs of the information age,' CRD's Chris Lightfoot explained, adding:

'We'll be keeping a close eye on this one, since there's every chance that this stupid idea will spread to other parts of the European Union.'

He concluded:

'Copyright levies are inherently regressive taxation since they don't take into account ability to pay. Worse, the effect is to punish everyone for copyright infringement by only a few users. Businesses and people who never listen to music on their PCs will wind up subsidising the record companies. In effect, this is collective punishment.'

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