Canadian Regulators Back Off Plan to Impose a 'Netflix Tax'

Streaming service won't have to subsidize TV productions

Canada’s equivalent of the FCC has backed off trying to regulate Netflix by dropping a proposal that has become known as the "Netflix tax." The move could have significant implications for other U.S. entertainment content providers doing business in Canada.

The Canadian Radio-television and Telecommunications Commission (CRTC) has ruled that Netflix will not have to pay fees to subsidize Canadian TV productions nor will the company be subject to minimal Canadian content requirements.

Canada’s largest cable companies reportedly already provide 30 percent Canadian content, and Netflix features Canadian programs, which has apparently satisfied the CRTC.

AW+

WORK SMARTER - LEARN, GROW AND BE INSPIRED.

Spring Special

Save 30% Off an ADWEEK Subscription Today!

View Your Options

Already a member? Sign in