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France's 'Culture Tax' Could Hit YouTube and Facebook

PolygamousRanchKid writes with this excerpt from BusinessWeek: "Should YouTube subsidize le cinéma français? France's audiovisual r.egulator thinks so. In a report this week, the Superior Audiovisual Council (CSA) says that video-sharing websites should be subject to a tax that helps finance the production of French films and TV shows. ... Although the CSA report says that videos posted online by private individuals should not be subject to taxation, it contends that video-sharing sites increasingly have become 'professional' content providers. ... Separately, France is considering a tax on smartphones, tablets, and other devices as another source of revenue for cultural subsidies. The proposed tax would raise an estimated €86 million annually that would be used to finance the 'cultural industries' digital transition,' France's Culture Ministry said at the time."

43 of 314 comments (clear)

  1. Kickback time by MrDoh! · · Score: 4, Insightful

    "That's a nice video streaming business you have there, you should speak to my cousin, he runs a french language film production company, sure he can help you..."

    --
    Waiting for an amusing sig.
    1. Re:Kickback time by Sqr(twg) · · Score: 2

      ...except when the state does it, it is legal.

      I don't see a problem with the YouTube tax. According to TFA, YouTube would be subject to the already existing tax on video-on-demand. This means they would have to pay a percentage of whatever people pay them to watch YouTube (on paid channels), just like their competitors.

      The tax on smartphones etc is more problematic. It may lead to smartphones that disable or cripple video streaming just to avoid the tax. If you're wondering why your cellphone or digital camera can only record 30 minutes of video, it is to avoid another tax on "video cameras" that was designed to compensate culture workers.

    2. Re:Kickback time by mysidia · · Score: 4, Insightful

      I don't see a problem with the YouTube tax

      I do... Youtube's not a French company. The idea that any country in the world can levy a tax on you if you're an internet company, would be crippling.

      How about a "Mohamed" tax from muslim countries, on any depiction of Mohamed in a video? The tax amount? $1 Million dollars, per viewer of each such video.

  2. Not Culture by mfwitten · · Score: 3, Insightful

    If you have to subsidize it, then it ain't culture; it's history.

    1. Re:Not Culture by SuricouRaven · · Score: 5, Informative

      But everyone does it. The UK has a system of subsidies for movie production (Lottery money, mostly). Uwe Boll's financial success came from exploiting the German system of subsidies to make films that were subsidised for more than their production cost, making it impossible for them to do anything but profit. The US approach is less open subsidies than tax breaks, both official and a policy of openly tolerating accounting practices that would be considered illegal in any other industry.

    2. Re:Not Culture by Anonymous Coward · · Score: 2, Insightful

      But everyone does it.

      Do you actually think that is a reason? . . . or are you trying to hold everyone else accountable? I learned at a pretty young age that when I tried to use the phrase, "but all my friends are doing it," that I was *still* accountable for being responsible and doing the right thing - which meant that I reaped the consequences of the stupid thing I just did that I tried to use that excuse to escape.

      Check your language - whenever you use that phrase you should seriously question your logic.

    3. Re:Not Culture by alexgieg · · Score: 2

      It's a choice made by the French.

      No, it's a choice made by the French government and imposed on French citizens. Those, when they chose, do so by way of opting to watch this movie and not that movie, by paying for this and not for that. No imposition is ever a choice, except by those who do the imposing.

      If French movies were good, as in "something the French are actually willing to directly pay for", subsidies wouldn't be necessary because those movies would pay for themselves. Since the French don't actually want to pay for them what they'd cost to become profitable, then the roundabout way is to make them pay anyway just because. After all, what would happen to all these friendly filmmakers of ours if they had to, you know, make stuff people wanted to watch? Oh, the horror! Oh, the tyranny! No, no, no, much better to have everything decided by enlightened bureaucrats who, as every bureaucrat knows, are always and by definition superior in their judgment to the wishes, preferences and desires of the ignorant rabble, harumph!

      --
      Conservatism: (n.) love of the existing evils. Liberalism: (n.) desire to substitute new evils for the existing ones.
    4. Re:Not Culture by erikkemperman · · Score: 2, Insightful

      And don't forget the Pentagon. Whenever you see a two bit tv show featuring, say, an aircraft carrier, it is subsidized by DoD. Strings attached of course, so it is effectively outsourced propaganda.

      --
      Gosh, thanks. That must be why the other ships call me Meatfucker -- GCU Grey Area (Eccentric)
    5. Re:Not Culture by mwvdlee · · Score: 2

      Imagine you want to make a movie.
      One the one hand, you can fund it yourself or try to find investors who you'll have to pay back if the movie makes money.
      On the other hand, you can just take some free government money and keep all profits for yourself.
      Just because everybody does it, doesn't mean they can't do without.

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    6. Re:Not Culture by SuricouRaven · · Score: 4, Insightful

      Actually I was arguing that if everyone does it, all must do it. As with any other area of protectionism. It's your basic game theory:

      - If no-one does it, all achieve modest success (ie, cultural influence)
      - If some do it and some don't, those who do achieve great success at the expense of those who do not.
      - Therefore if some start doing it, everyone else has to join in to achieve an even playing field again.

    7. Re:Not Culture by Runaway1956 · · Score: 4, Insightful

      So, Alexgieg - you are merely defending America's capitalistic approach to "culture", am I correct? Basically, if it doesn't make a heap of money for Hollywood executives and investors, then it's not really culture, right?

      Sadly, America has lost a lot of culture in the past century, because of Hollywood. There was a time when an American citizen could be entertained by Russians, Slavs, Africans, Asians, Mexicans, or any other culture they might choose. Today? We've lost almost all of that. The only entertainment that has survived is that which corporate executives approve of. Entertainment which they have harnessed toward the goal of milking Americans of their money.

      As a young boy, and as a young man, I remember being fascinated by the diversity that was obvious in my own hometown, and in the surrounding region. Today - cultural diversity seems to be about dead. Everyone, no matter their background, flocks to the cinema for their entertainment. They all listen to music for which they have paid - music approved by RIAA represented companies. What has happened to our folk music, and our folk lore?

      Culture?

      I really don't know much about French movies, or French music, or French culture in general. I'm not a student of any of the arts. If I were a student, maybe my opinion of French art would be lower than Hindi, or Chinese, or Russian. Maybe. I really don't know.

      What I do know, without a doubt, is that the shit that Hollyweird puts out is truly that - shit. Bang-bang shootemups, often times with less plot than little children could offer. "Action thriller" is just about synonymous with "brain dead".

      If California experienced an earthquake that swallowed Hollyweird and all of it's execs, along with all of it's major actors - mankind would have lost nothing.

      I would much prefer to sample a little culture from places like France, than to be forced to watch another idiot action movie out of Hollyweird, thank you very much. Not that I intend to start studying any of the arts, mind you. But, I do enjoy a little entertainment now and then. There is nothing on the airwaves in the US that entertains me.

      --
      "Windows is like the faint smell of piss in a subway: it's there, and there's nothing you can do about it." - Charlie Br
    8. Re: Not Culture by erikkemperman · · Score: 2

      sure. But this is just one of many relevant google hits for "Hollywood pentagon".

      --
      Gosh, thanks. That must be why the other ships call me Meatfucker -- GCU Grey Area (Eccentric)
    9. Re:Not Culture by Any+Web+Loco · · Score: 2

      "Culture" has to be commercially viable? Consign it to the dustbin of history of it's not? Nah - you're doing it wrong.

    10. Re:Not Culture by alexgieg · · Score: 4, Interesting

      the French have an uphill struggle making a movie profitable even if it were the world's best movie, because they are in French.

      The absolute best example to counter this line of reasoning is Japan. Their pop culture is so powerful that the almost unsurmountable fact of "it's in Japanese!" offers no obstacle for its spread all around. If French cultural production was culturally powerful people would be flocking to it, learning French for the sake of watching the original, organizing fansub efforts to illegally subtitle French movies, shows and comics into dozens of languages, create sites to host thousands of fanfics, fanarts etc. about their most beloved French shows, and so on and so forth. Nothing of this happens for the simple reason that French cultural production fails miserably at touching the hearts and minds of anyone but a small minority among even the French.

      Also, while today almost no one is interested in learning the French language, until before WW2 it was the international language. Everyone everywhere learned French and talked with people from other countries in French. By capitalizing all that goodwill France had the opportunity to become not only the center of high culture and science it already was, but also of becoming the undisputed superpower in matter of global popular culture. It didn't want to, it still doesn't want to, and as such its cultural producers are reduced to begging the government for money.

      As long as they continue accusing externalities such as the (utterly irrelevant) worldwide number of French speakers for their lack of success, they'll continue failing. No, they have no one other than themselves to blame. That's all there is to it.

      --
      Conservatism: (n.) love of the existing evils. Liberalism: (n.) desire to substitute new evils for the existing ones.
    11. Re:Not Culture by alexgieg · · Score: 3, Interesting

      the corporations spend millions upon millions to brainwash the masses into believing that the corporate offerings are all there is

      You're still talking like we're in the 1990's, and overthinking it at that. Anyone who ever browsed Youtube knows that's false and that the corporate offerings are a small part of what's out there. No, they still watch blockbuster movies because they like them. Then they get home (or open their mobile phones) and watch from dozens to hundreds of independently produced stuff per month.

      the corporations actually have sent take down notices to block original content

      An anecdote doesn't science makes. Yes, this happens. No, it isn't prevalent. If it were you wouldn't be citing one example to make your point, you'd be giving a statistic. If there's one it'll probably show such invalid takedowns amount to a small fraction of a percent.

      What doesn't mean media corporations wouldn't love to be able to do it to everything they dislike. They just cannot. Whatever their power is, and it is certainly huge, it isn't that huge. And they're shrinking. Unless they change drastically to cope with the reality of an Internet that cannot be domesticated, in a few decades they'll have all but disappeared. And there'll be much rejoicing, for I'm with you in my dislike for them as corporations. As for the stuff they produce however, nope, those are neither "the" nor "a" problem. Both things are unrelated and shouldn't be mixed.

      --
      Conservatism: (n.) love of the existing evils. Liberalism: (n.) desire to substitute new evils for the existing ones.
    12. Re: Not Culture by SpaghettiPattern · · Score: 2

      Don't confuse "free choic"e with "responding well to carefully planned psychological campaigns". As long as even smart people maintain they exercise "free choice" mass communication specialists and the execs commissioning them continue to have champaign for breakfast.

      --

      I hadn't the slightest objection to his spending his time planning massacres for the bourgeoisie... (P.G. Wodehouse)
    13. Re:Not Culture by khallow · · Score: 3, Funny

      Uwe Boll's financial success

      That settles it right there. If France doesn't subsidize culture, then they'll face the dreaded Uwe Boll gap. Can't let Germans win the culture war!

    14. Re:Not Culture by Spy+Handler · · Score: 2

      No, subsidizing would mean Pentagon gave them money to make the film. In reality what they're doing is giving them access to the military's planes/ships for filming.

      You could argue that it amounts to the same thing, since this saves the studio money by not having to rent their own plane or make mockups. And you would've had a good point... 20 years ago. Nowadays they can just CGI pretty much anything for the same price or less of sending the cast and crew to the military location, setting up shop, etc.

  3. Re: Frogs by lord_rob+the+only+on · · Score: 5, Insightful

    There are many names you can cite
    Proof is when a good french movie ls released you americans make exactly the same movie but with american actors

  4. The landslide starts by Anonymous Coward · · Score: 2, Insightful

    Some of you will say it has already started. And in some ways, it already has. However, as these 'small' little seperators wiggle their way into the legal framework, country by country, the Net is going to become a legally convulated hell for personal media, personal information, and copyright. It's pretty grey now, however this is just going to murk up the waters more.

    Net neutrality was a half-assed attempt to stopgap it in the US, but the FCC, however contadictory politicized and impotent, sure as hell isn't going to consider that now! With Italys' recent win over Google, and now France's 'tax' hitting the major players, this feels all to familiar that it's just the beginning of a landslide of legislation to reign in information sharing, and to insure capitalizing from it.

  5. Nice try. by nospam007 · · Score: 4, Informative

    Just like last time when they tried to save the french film industry from the pirates, they created a new agency to stop piracy.

    After a couple of years and a for a budget of 13,7 million dollars a year, they actually had exactly 2 users convicted, 1 user slapped on the wrist and 1 user who got a fine of 150 Euros.

    This will work exactly the same, not at all.

    http://www.billboard.com/biz/articles/news/1483616/frances-hadopi-2-convictions-1-fine-125-million-warnings-since-2009

    1. Re:Nice try. by Bearhouse · · Score: 2

      Very true. The French constitutional court gutted most of the legislation regarding "illegal" downloading and streaming so they've basically given up.

  6. Re:Frogs by SerpentMage · · Score: 5, Interesting

    Actually French films are rather good. But as another poster said, Americans tend to remake French films. With an example being the original French film, "Anything for Her", being played by Russell Crowe or one you should know... "True Lies". Or did you know about "The Tourist"? I am not going to espouse that French films are superior, they tend to drivel quite a bit at times. However, to say that they have no talent shows that you are ignorant on movies.

    --

    "You can't make a race horse of a pig"
    "No," said Samuel, "but you can make very fast pig"
  7. There is another option by Charcharodon · · Score: 2

    They could just post videos on the web just like everyone else. Last time I checked its not exactly expensive to do.

  8. Re:Behind the times. by rusty0101 · · Score: 3, Insightful

    You're making the assumption that french culture is independent of the french govornment. While this may be true for those artists that are earning a living on the art they produce, the govornment of france feels that they are responsible for maintaining french culture, and as a govornment agency have mandated studies that have determined that this is the cost of making this transition, and as a result have instigated other studies that have recommended that taxes on these artifacts of the digital transition should cover that cost. The fact that the cost has already been bourn by the artists and art viewers as they have made the transition independent of the studies of the state does not eliminate the requirement that the state collect those fees, to make the transition.

    When all is done, every artist in France is likely to be given a 2 Euro digital camera that does not capture more than 6 images at VGA quality or lower, at a time, and does not support any of the various flash media storage formats that are in circulation, To allow them to transition to 'digital'. any remaining incidental funds recovered by the temorary taxation will be used to cover the costs of distributing those cameras.

    --
    You never know...
  9. Stronger copyright laws - not "culture tax" by Phoeniyx · · Score: 2

    Some of the posters are saying that France produced this and that movie and Americans just ripped them off - and that somehow makes this culture tax justifiable. Well, if these movies "were" ripped off, then what you need are stronger copyright laws. The various countries have their own copyright laws that are connected with international treaties - lobby to have them strengthened. My "guess" is that while there may be a "few" movies that were "ripped off", this culture tax would try to "recover" much more than what was taken from these few movies. And what the hell does Google/youtube have to do with some American studio ripping off some French movie? These "stealing" American studios try to keep their produced content from youtube also and youtube has a good take down system. This whole episode reminds me of the blank DVD tax saga in Canada - where to support the Canadian music industry that are "negatively effected" by music piracy, the stupid government allowed a blank DVD tax where every blank DVD costs a few cents extra to go to the coffers of the Canadian music people. WTF. I don't even copy music. They tried to do the same nonsense with USB sticks - but failed.

    1. Re:Stronger copyright laws - not "culture tax" by Eunuchswear · · Score: 2

      I think you're misreading the talk about remakes - they were in response to the claim that France has no culture, not an excuse for the tax.

      The remakes are not "rip offs", Hollywood is pretty serious about not getting involved in "Intelectual Property" disputes with anyone with enough money to pay for serious lawyers. I think you'll find that the people who own the rights to the original film get paid before the remake is made.

      --
      Watch this Heartland Institute video
  10. Classic France by pablo_max · · Score: 2, Insightful

    Seriously, this is classical French behavior. Over the years they have put various taxes on this or that to protect this or that industry. Think taxes on blank media which should go to the record companies. Not a cent to artists mind you, but I digress.

    Actually, the only real way France will learn is to simple ignore them. By ignore them, I mean completely pull out of the France. No french versions of websites. No, french youtube, no French google or bing.

    I wonder how long it would take for the French people to freak out for being cut off from any meaningful content?

    Alternatively, for French versions of websites, you have have a "pay to enter". On youtubes page, there can be a sign saying due to the ridiculous cost of operating in France, you will need to pay 5€ per month in order to watch any videos.
    The same on google and bing and yahoo. Want to search? 15 cent per search.

    I say call their bluff and pull out of France. Now, if we could just get those surrender monkeys out of the EU....

    1. Re:Classic France by jareth-0205 · · Score: 3

      Actually, the only real way France will learn is to simple ignore them. By ignore them, I mean completely pull out of the France. No french versions of websites. No, french youtube, no French google or bing.

      I'm trying to think of a more subtle way of saying 'fuck you', but I can't. You realise how outstandingly arrogant you sound? That you would have foreign corporations put such massive pressure on a government to act in a way that they want?

      I don't particularly think this tax is a great idea, and it's likely to limit what gets offered to France, but guess what, it's up to *France* to make their decision on the tradeoff and then *Google* etc to decide whether it's worth it to do business in that country. And you can bet your life that they still will. Just because you have an anarchist / libertarian / bully hardon for making governments do your bidding, doesn't mean the real world works like that.

  11. Re:There are more french film than you would think by Eunuchswear · · Score: 2

    And arguably both went beyond the "shootyshooty bang bang special fx" crapfest that seem to come out of holywood.

    shooty shooty bang bang is Luc's speciality!

    Taxi 1,2,3
    The Transporter 1,2,3
    Taken 1,2 ...

    And that's just the letter "t".

    --
    Watch this Heartland Institute video
  12. Re:Yes by Eunuchswear · · Score: 2

    The purveyors of cat videos should be taxed to support the production of works more substantive than cat videos.

    "Works more substantive than cat videos"? Heretic! Burn him!

    --
    Watch this Heartland Institute video
  13. Re: Frogs by tlambert · · Score: 2

    Hollywood not in here sindrome dates back to the early 20th century. That is one of the reasons if not the main reason why professional dubbing for cinema was never a viable industry in the US for a large part of the 20th century. And also why foreign films most of the time have had niche status relagated to film festivals. Contrast that to France, Germany, Italy or Spain who have a domestic film industry going back almost 100 years, and yet they import foreign films and dub them for their local audience. And this means we don't have to remake foreign films, we give them the original product.

    Clearly, you have missed out on the whole "Kung Fu Theatre" 1AM genre thing...

  14. Re:Taxes. by Luckyo · · Score: 4, Interesting

    No, it's important to make everyone pay by the rules. Anarchist bullshit you're spewing sounds nice if you have a strong anarchist bend, but otherwise, it sounds quite insane. Reality is that taxation is about preventing the suffering, rather than creating it. It creates safety nets, pays for medicine, police, fire protection and so on. It guarantees some income even if you lose your job, or get hurt. It lets you go to work when you have young children and gives you a place to put them in daycare. It provides centralized and functional education system. And countless other things.
    Tax dodging is what generates suffering, heavy suffering at that. Much of the current budget problems in France are because traditional tax revenues are dying up - because of increasing paths of tax evasion being available to traditionally large contributors, such as large companies.

    Companies that dodge this need to be taxed like others, both to prevent suffering and to allow competition to survive and adapt. They should not be allowed to effectively steal their contribution from taxation pool as they do now while destroying their competition though these unfair means.

  15. Re:There are more french film than you would think by JustOK · · Score: 3, Funny

    It lost something when they created the TV series.

    --
    rewriting history since 2109
  16. Re:Frogs by _Shad0w_ · · Score: 2

    "Les cites des enfant perdu" is also good.

    --

    Yeah, I had a sig once; I got bored of it.

  17. Re:Taxes. by phayes · · Score: 3, Informative

    Some people visibly like having having a dick up their ass and will use any means to do so like conflating refusing an unjust tax with the refusal of the members of the EEC to harmonise their tax codes so that they could eliminate/control the double Irish. It isn't anarchy to denounce this manoeuvre by French socialists to finance their buddies by taxing everyone on the Internet. For the amount of money I already pay for my blank DVD, Internet access, Hard drives, USB keys, etc, I as a french citizen have received precisely nothing.

    --
    Democracy is a sheep and two wolves deciding what to have for lunch. Freedom is a well armed sheep contesting the issue
  18. Google finds on your mil/art funding question by AHuxley · · Score: 4, Informative

    "The Pentagon’s strengthening grip on Hollywood"
    http://www.salon.com/2011/08/29/sirota_military_movies/
    "The U.S. military's Hollywood connection"
    http://articles.latimes.com/2011/aug/21/entertainment/la-ca-military-movies-20110821
    http://movieline.com/2013/02/06/military-entertainment-complex-hollywood-pentagon-relationship-battleship-zero-dark-thirty/
    Operation Hollywood
    http://www.motherjones.com/politics/2004/09/operation-hollywood
    A script often self corrected until the use of mil equipment works out.
    The UK, Australia, Germany, France all have their funding mixes for their own culture. The US mil movie/script 'corrections' aspect is well known, has been reported for years.

    --
    Domestic spying is now "Benign Information Gathering"
  19. Re: Well... by TheRaven64 · · Score: 2, Funny

    American cheese usually doesn't, that's why it tastes of plastic.

    --
    I am TheRaven on Soylent News
  20. Re: Frogs by staalmannen · · Score: 2

    Both dubbing and re-casting with native actors take away a lot of the experience. I hate the brittish and american recasts of swedish films/series for example. For dubbing, it is quite clear that people in European countries not speaking one of the big languages (German, Spanish, French, Italian, ...) are on average better in English thanks to sub titling of the original movies.

  21. Re:Frogs by Attila+Dimedici · · Score: 2, Interesting

    Actually, the "subsidies" that oil companies get are mostly tax breaks that EVERY company gets. Most of the remaining "subsidies" fall into three groups: Money spent to fill the Strategic Petroleum Reserve, tax breaks received by farmers for the fuel they use to run farm vehicles, and Low-Income Home Energy Assistance. Which of these do you want to cut?
    If we are going to discuss cutting oil company "subsidies", let us discuss the specific subsidies and the relative merits, or lack there of, of those subsidies. We need to be aware of who, besides the oil companies, may benefit from these subsidies and what effect these subsidies may, or may not, have on the behavior of various organizations (including the oil companies). All too often, we have this discussion about generic "subsidies to the oil companies." We need to discuss specifics. I agree that federal spending must be reduced, but all too often when I bring up some specific program, I am told, "You can't do that" by people who turn around and say we should cut spending in the generic area which that spending is part of.

    --
    The truth is that all men having power ought to be mistrusted. James Madison
  22. Maybe it's the language by msobkow · · Score: 3, Insightful

    Maybe it's the language that causes brain damage, because here in Canada, we have the Quebecois with that same perverse "protectionist" mentality about their language and culture.

    Or maybe they just can't accept the fact that the days of empire are over, and that they no longer matter all that much on the world stage compared to when they were in their glory days.

    What I do know is that protectionism and isolationism don't save anything; they just create isolated backwaters that aren't connected with the global culture and the rest of the world.

    Stupidest example I can think of: In Quebec, you're supposed to yell "Quatre" on the golf course. The problem with that is "Fore" is short for "Forewarned", not "Four."

    --
    I do not fail; I succeed at finding out what does not work.
  23. Global companies and tax by sjbe · · Score: 4, Insightful

    Youtube's not a French company.

    Yes they are. I guarantee you that Google (who owns YouTube) is incorporated in France and can be taxed there. The fact that the parent company is in the US is not important here. France absolutely can tax the French subsidiary of Google. There probably are taxation angles via the EU as well.

    The idea that any country in the world can levy a tax on you if you're an internet company, would be crippling.

    It would be if they could collect the revenue. If you don't actually do any business in France they cannot tax you even if they pass laws which try. They simply cannot collect the money.

  24. Re:There are more french film than you would think by ShanghaiBill · · Score: 2

    Which kind of proves the point: If the material is any good, it will succeed and wont need artificial state support.

    The same could be said of American sports franchises, which receive billions of tax dollars, mostly as stadium subsidies. What the French are doing is stupid, but America is no better.