SOCAN Online Allied Audiovisual Tariff Erratum

Summary#

The Copyright Board published an erratum on June 21, 2025 that corrects the previously published text of SOCAN Tariff 22.D.3 – Online Allied Audiovisual Services (2014-2024) (the version first published on September 21, 2024). The corrected text sets the royalty rates, reporting rules and record-keeping requirements for services that stream audiovisual works and are linked to conventional TV or distribution undertakings for the years 2014 to 2024.

What it does#

• Republishes the corrected wording of the SOCAN Tariff 22.D.3 – Online Allied Audiovisual Services (2014-2024) so the tariff text is accurate in the Canada Gazette.
• Sets how royalties are calculated for streaming audiovisual works:
  • Standard royalty rate: 1.9% of relevant fees or revenues, with minimums of 1.3¢ per program and 7.5¢ per subscriber per month.
  • Lower “low music use” rate: 0.8% (same minimums of 1.3¢ per program and 7.5¢ per subscriber per month) if music makes up less than 20% of the service’s audiovisual time.
  • If a service has no revenue in a year, the royalty is $15.00 per Year.
  • A single initial free trial of up to 31 days in any 12-month period is exempt from subscriber royalties.
• Requires monthly reporting and payment:
  • Monthly sales and usage reports must be sent 30 days after the end of each month.
  • Royalties are due 30 days after the end of each month (yearly payment deadline for the no-revenue rate is January 31 following the year).
• Explains how to calculate the “Rate Base” and ratios used to apportion Canadian and audiovisual revenue (including default values such as an AV Ratio of 100% or a Domestic Ratio of 10% if data are unavailable).
• Records and audit rules:
  • Services must keep records for six years.
  • SOCAN may audit records, but no more frequently than once in any 12-month period.
  • If royalties are understated by more than 10% in a quarter, the service may have to pay the audit costs.
• Confidentiality and limited sharing rules for information submitted to SOCAN are included.

Who's affected#

• Primarily streaming services defined as Allied Audiovisual Services — that is, online services that stream audiovisual works in conjunction with or supporting a conventional TV service or a BDU (broadcast distribution undertaking).
• Authorized distributors and the companies that operate those allied services.
• Smaller services offering occasional or low-music programming may qualify for the lower 0.8% rate if they meet the 20% music threshold.
• SOCAN and the Copyright Board are the public bodies enforcing and publishing the tariff.
• The public (subscribers and viewers) are indirectly affected by how these costs may influence service pricing or licence compliance.

Why it matters#

• This erratum clarifies the official, corrected rules that determine how much online allied audiovisual services must pay for the music used in streamed programs from 2014 to 2024.
• For service operators, the tariff spells out specific percentages, minimum fees, reporting timelines and record-keeping limits. That affects accounting, budgeting and compliance work.
• For consumers, changes to how services are charged can influence subscription prices, the availability of certain content, or how services structure free trials.
• Because this is a correction of the previously published text, companies and rights holders now have a clarified legal reference for settling past or ongoing royalty questions for the years covered.