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Canadian Court Ruling Strikes Down Broadcast, Cable License Fees
December 18, 2006 at 4:34 AM (PT)
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A Canadian federal court ruling may mean huge savings for broadcasters, as Judge MICHEL SHORE ruled that the government may not tax radio and TV broadcasters and cable and satellite companies with license fees as it has for the last eight years. The ruling held that the fees were going into the general fund without any specific service being provided to the industry in return, a violation of the law. The industries could save over C$100 billion a year without the fees, which were immediately halted by the ruling; the CANADIAN ASSOCIATION OF BROADCASTERS may appeal to get a refund of the nearly C$800 million collected in "Type 2" fees since they were enacted in 1997.