No iPod tax for Canada

The Canadian Supreme Court won't hear a case involving extra fees for iPods and other MP3 players in that country, ending a dispute over a so-called iPod tax, but rekindling debate over the legality of file swapping.

At issue was a long-standing law that allows a regulatory agency to collect a small extra fee on blank media such as CDs and tapes, with the revenues going to artists and record labels to recompense them for the private copies being made of their work.

That agency, the Copyright Board of Canada, said in late 2003 that iPods and other hard-drive players were being used to copy music as well, and imposed a fee of up to $25 on the devices. An Appeals Court set aside that decision last year, and Thursday's Supreme Court action will leave iPods untaxed.

News source: ZDNet

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