The House of Commons of Canada has passed Bill C-11 with the goal of raising about $ 800 million a year from US broadcasters and social media platforms as they are forced to subsidize local Canadian film, television and music production.
Legislation behind the video and audio broadcasting tax now awaits passage from the upper house of the Senate in Ottawa, which remains in question as Canada’s ruling minority government may face elections later this year and must kill Bill C -11. Early federal elections in August 2021 completed a previous version of the Broadcasting and Audio Tax Legislation, Bill C-10.
Also known as the Broadcast Modernization Act, Bill C-11 amends the Federal Broadcasting Act to create a new “online company” category and, for the first time, regulates foreign media players active in the Canadian market.
Canadian legislation aims to subject American tech giants and other foreign players to the same content-spending obligations as traditional broadcasters. This would force American digital giants doing business in Canada like Facebook, Netflix and Spotify to fund and market local Canadian content.
Domestic revenue drive on the other hand would help local Canadian creators get more out of their product in the world market. That global model through American broadcasters and audio platforms has been seen as domestic television series Shit stream AND The convenience of Kim find critical and commercial success when selected by Netflix, and Canadian music superstars like Drake and The Weeknd fly on Spotify and Apple Music.
The Senate Standing Committee on Transport and Communications has begun hearings on the final approval of the C-11 bill into law.
On Thursday, Ian Scott, chairman and CEO of CRTC, Canada’s television watchdog that will try Bill C-11 if it ever goes into law, told the Senate committee that the legislation provides “new tools” to ensure that stories and Canadian music can reach your audience at home and abroad.
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