SOCAN Background Music Tariff (2012–2019)
Canada Gazette, Part I, Volume 159, Number 45: SUPPLEMENT 2
The Copyright Board published SOCAN Tariff 15.A setting royalties for recorded background music played in most public establishments for 2012–2019. It fixes the annual rate at $1.23 per square metre (11.46¢/ft²) with a $94.51 minimum, prorating and seasonal rules, a January 31 payment deadline, SOCAN audit rights, and daily interest on late payments — meaning some businesses may face retroactive fees.
Summary
Summary#
On November 8, 2025, the Copyright Board published SOCAN Tariff 15.A – Background Music Performed in an Establishment (2012–2019). It sets the fees that must be paid when recorded background music from SOCAN’s repertoire is played in most public establishments for the years 2012–2019.
What it does#
- Sets the basic annual royalty at $1.23 per square metre (or 11.46¢ per square foot) for each tariff year 2012–2019. Payment is due January 31 for each tariff year.
- If music did not start in January of the first year of operation, the fee is prorated by month from when music began and must be paid within 30 days of first performance.
- Seasonal establishments open less than six months a year pay half the rate.
- A minimum annual royalty of $94.51 applies in all cases.
- Payments must include a report showing the area of the establishment.
- Does not apply to musical performances that are part of events such as receptions, conventions, assemblies and fashion shows.
- Notes that under the Copyright Act, subsection 72.1(1), no royalties are collectable from the owner or user of a radio receiving set for certain public radio performances outside commercial theatres.
- Gives SOCAN the right to audit an establishment’s books on reasonable notice during normal business hours to check the statements and fees.
- All amounts are exclusive of taxes. Late payments bear interest calculated daily at a rate equal to 1% above the Bank Rate effective on the last day of the previous month; interest does not compound.
Who's affected#
- Businesses and places that play recorded background music in public areas, such as restaurants, bars, retail stores, hotels, gyms and offices, unless they are covered by Tariff 16.
- Seasonal businesses that operate fewer than six months a year (they pay half the rate).
- Owners or users of radio receiving sets may be exempt in the specific situations described in the Copyright Act.
- SOCAN (the music rights society) and establishments that may be audited to verify payments.
- It is unclear from the notice whether every type of small venue or community space is covered; the tariff applies to establishments not covered by Tariff 16.
Why it matters#
- It translates background music into a clear, area-based cost: $1.23 per square metre with a $94.51 minimum. That gives businesses a simple way to estimate fees.
- Because the tariff covers 2012–2019, some businesses could face retroactive bills for past years.
- The rules require reporting of floor area and allow audits, so businesses should keep records about when and where music was played.
- Exemptions (events and certain radio uses) mean not every musical use in a public place will trigger a fee.
- Late payments accrue daily interest, which can increase the total cost if amounts are unpaid.
Key topics
Source: Canada Gazette