Dingell opposes 'punitive' radio tax

Rep John Dingell assured broadcasters Tuesday night that he is against the "tax" he said would be imposed by the Performance Rights Act. "I'd like to express my opposition to legislation imposing a performance tax on broadcasters," Rep Dingell said at a National Association of Broadcasters dinner. "I am concerned that such a tax would be of less benefit to recording artists than to record labels, many of which are based abroad." "Further, recording artists and record labels have profited handsomely for years from the free publicity they get from broadcasters, a mutually beneficial relationship that a performance tax will destroy," said Dingell, chairman emeritus of the House Commerce Committee. "Lastly, and perhaps most practically, it seems ridiculous to me to impose a new punitive fee on broadcasters during this time of recession, especially as broadcasters have seen their revenues decrease by up to 40 percent over the past several years."