Tangerang Selatan (ANTARA) - The Ministry of Law has said that music royalties go to the creators of the works, and are not taxes or excise collected for the state.
“As previously stated, royalties are for the creators, not the state. Therefore, they will be returned to the creators of the works,” director general of general legal administration, Widodo, emphasized here on Wednesday.
He said that the obligation for hotel, restaurant, and shopping center entrepreneurs to pay royalties is part of an effort to respect and appreciate all music creators and their works.
“That’s part of respecting a person’s creative rights. So, when artists create something, it’s because they want to be appreciated,” he added.
The Directorate General of Intellectual Property (DJKI) of the Ministry of Law earlier emphasized that all business actors who play music in commercial public spaces, including restaurants, cafes, shops, fitness centers, and hotels, are obliged to pay royalties to music creators and copyright holders.
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Director of copyright and industrial design at the Ministry of Law, Agung Damarsasongko, said that this applies even if business actors have subscribed to music services such as Spotify, YouTube Premium, Apple Music, or other streaming services.
He explained that streaming services are personal services, but when music is played in a business space, it falls into the category of commercial use and requires additional licensing.
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He said that the royalty payments are made through the National Collective Management Institute.
This aligns with the mandate of Law Number 28 of 2014 concerning Copyright and Government Regulation Number 56 of 2021 concerning Management of Song and/or Music Copyright Royalties.
