Netherlands tax could devastate iPod sales
updated 08:30 am EDT, Thu April 28, 2005
Netherlands iPod tax
A Netherlands proposed tax on MP3 players could , such as Apple's iPod. The tax is set to become law in the Netherlands in a few short months unless the European Commission finds a reason to intervene. "The idea of all levy based legislation is that some form of copyright collections agency collects tax by imposing a surcharge at the point of sale for any storage devices that could possibly be used to store pirated works," reports The Register. "Because of the fact that the great bulk of iPods are used to store legitimate iTunes files which are Digital Rights Management (DRM) protected, this means that copyright is being purchased twice over for these devices if a levy is also paid." If this legislation comes into play, the surcharge will be as much as €3.28 ($4.3) per gigabyte. This might put €180 ($235) to the price of a top end iPod.
Double Dutch?
04/28, 08:44am reply
Almost ashamed of being Dutch.
Appleman
Mac Elite
Joined: Feb 2001
Not only Apple
04/28, 08:47am reply
But every other hard drive based player will be affected as well. Now is this just for HD based players or will flash based ones get this huge tax as well.
I think people will order out of the country and just have the iPods delivered potentially, unless they find a way to tax that as well. Apple, come up with a Paypal plan or something and some form of warranty shipping plan for those brave Dutch that buy a iPod with no Apple store there to return it to.
MacMoose
Fresh-Faced Recruit
Joined: Mar 2003
Solution,
04/28, 08:47am reply
Apple should make its iTunes songs freely available in the Netherlands and then request that the government compensate it for the number of songs sold.
This could actually work in Apple's favor, since pirated songs wouldn't be free anymore.
f1000
Professional Poster
Joined: Jan 2003
In any case,
04/28, 08:55am reply
Apple's not making much money off the iTunes Music Store anyway.
f1000
Professional Poster
Joined: Jan 2003
That is exactly why...
04/28, 09:05am reply
I left the Netherlands as soon as I finished high school. Here's a typical conversation in Dutch government:
"We hebben een groot probleem!" (We have a big problem!)
"Ik heb een idee, laten we de belastingen verheffen!" (I have an idea, let's raise taxes!)
"Jij bent geniaal!!" (You're a genius!!)
kaisdaddy
Fresh-Faced Recruit
Joined: Apr 2005
Having said that...
04/28, 09:08am reply
...nobody in the Netherlands is more than a 1 1/2 hour drive from either Germany or Belgium, so they can just go there to get their mp3 player.
kaisdaddy
Fresh-Faced Recruit
Joined: Apr 2005
Gotta love it
04/28, 09:34am reply
I think this is EVERY gov'ts way of fixing ANYTHING. Raise taxes on the populace.
typoon
Addicted to MacNN
Joined: Oct 1999
New Business Opportunity
04/28, 09:55am reply
Do I sense a great opportunity for grey market sales on iPods?
legacyb4
Mac Elite
Joined: May 2001
hm
04/28, 12:59pm reply
I thought they were smarter than this over there!
porieux
Baninated
Joined: Mar 2001
What a Strange Place.
04/28, 01:34pm reply
Yet again government is succumbing to the preditorial vampires in the music industry. some say a grey market, I say not. E-retailers will prevail from outside the netherlands, or a short road trip across the border to France, Belgium, Germany, or Britain.
Could it be that the lawmakers in the Netherlands have been smoking too much pot? Afterall, ganga is legal there. Pothead bureaucrats.
ronjamin
Baninated
Joined: May 2002