The High Court stopped the implementation of Ruto’s latest tax
The High Court stopped the implementation of Ruto’s latest tax
The High Court has stopped the Kenya Copyright Board (KECOBO) from releasing cash collected through the Blank Tape Levy.The Blank Tape Levy is a new tax imposed by Kenya’s government on Monday, September 11.
The tax is levied on the sale of blank media and devices like CDs, DVDs, USB drives, and cellphones. The levy amount varies based on the type of media or device.The order was granted on Wednesday, September 13, in response to a petition submitted by individuals claiming to be acting in the best interests of music producers and artists.The petitioners contended that the Blank Tape Levy is illegal and that the proceeds should not be distributed to the Performers Rights Society of Kenya (PRSK), Music Copyright Society of Kenya (MCSK), and Kenya Association of Music Producers (KAMP).
Petitioners claimed that the levy violates their right to fair remuneration and that the money should be used to support the development of the music industry in Kenya.
The court ordered KECOBO not to deposit the cash received through the Blank Tape Levy into an interest-bearing account until the petition was heard and decided.On Friday, August 25, Sports Cabinet Secretary Ababu Namwamba told Kenyans.co.ke that the Blank Tape Tax will be imposed on all digital and electrical devices capable of recording or producing internet material.The Blank Tape Levy, according to Ababu, will be used to reimburse copyright holders for private copying of their works. The petitioners, on the other hand, argue that the charge is unjust and will primarily benefit a tiny number of copyright holders.
Purposefully, Blank Tape Tax will be used to enhance digital content creation in the country. The Cabinet Secretary argued that the Blank Tape Tax is necessary to protect the rights of copyright holders and content creators in the country.
“The Blank Tape Levy will be significant and will increase royalties collection tenfold.” This tax will be levied on any device with recording capabilities.”It will be imposed on any device, including this camera or a mobile phone imported into the country from other countries,” Ababu added.Because the issue is still pending in court, it is unknown whether the Blank Tape Levy will be upheld. The court’s verdict, however, is expected to have a substantial influence on Kenya’s music business.
