Removing obstacles in implementing the royalties and remuneration regime in the fields of journalism and publishing

The Ministry of Information and Communications said that after more than 10 years of implementation, Decree No. 18/2014/ND-CP has revealed limitations and inadequacies, failing to meet the practical requirements of the press and publishing sector, leading to difficulties and obstacles in implementation.

Specifically, Decree No. 18/2014/ND-CP has not fully regulated the subjects involved (indirectly) in the production of press works; on the other hand, the regulations are inconsistent between the subjects receiving royalties and remuneration for printed and electronic press works and those for spoken and visual press works. Therefore, some subjects participating in the production and publication of press works (technical and administrative staff, etc.) are not entitled to remuneration.

Some press genres are not yet regulated as subjects eligible for royalties and remuneration in Decree No. 18/2014/ND-CP. Therefore, press agencies have no basis to calculate royalties and remuneration for these works.

In fact, by applying scientific and technological achievements, press works are produced, published and broadcast on digital platforms by press agencies. These works demonstrate creativity and have spread to many readers. Decree No. 18/2014/ND-CP does not have regulations on calculating royalties and remuneration for these cases, leading to press agencies having to pay production costs but not being calculated for royalties and remuneration.

For the publishing sector, Decree No. 18/2014/ND-CP does not specifically stipulate how to calculate royalties and remuneration for electronic publications (it only stipulates the agreement on how to calculate royalties and the royalty rate). Therefore, publishers have no basis to apply royalties.

On the mechanism of forming the Royalties Fund: Decree No. 18/2014/ND-CP has not clearly defined the accounting mechanism for the Royalty Fund from service revenue, leading to impacts on tax policy and financial efficiency; the regulation on the deduction of the Royalty Fund from the state budget is not consistent with the 2015 Budget Law. Therefore, it is necessary to abolish all regulations on the Royalty Fund in press activities.

On the other hand, the mechanism for paying royalties and remunerations as prescribed in Decree No. 18/2014/ND-CP does not distinguish between works created from financial sources, which is inappropriate. Meanwhile, with the same regulations on royalties and remunerations, Decree No. 21/2015/ND-CP dated February 14, 2015 clearly stipulates that the subjects of regulation are organizations and individuals who create, exploit and use works using state budget funds or organizations and individuals who exploit and use works whose copyright owner is the state.

Therefore, it is necessary to clearly define the subjects of regulation in the field of press and publishing as organizations and individuals who create, exploit and use works using state budget funds or organizations and individuals who exploit and use works for which the State is the representative owner of copyright.

Based on the above grounds, the Ministry of Information and Communications finds it necessary to develop a Decree regulating royalties in the field of journalism and publishing to detail the Law on Intellectual Property on the rates and methods of payment of royalties in the field of journalism and publishing, and at the same time replace Decree No. 18/2014/ND-CP, in order to promote the exploitation of copyright values ​​in the field of journalism and publishing using state budget funds, creating revenue for press agencies and publishers to create valuable works.

Layout of the draft Decree

The Draft Decree is developed from the viewpoint of complying with the provisions of the Law on Promulgation of Legal Documents and documents guiding their implementation; ensuring consistency and synchronization with the current legal system.

Regarding the use of the state budget to pay royalties, it is necessary to ensure consistency and compliance with current state budget laws and the financial autonomy mechanism of public service units.

Conduct a thorough review to promptly resolve difficulties and obstacles in the implementation of the royalty and remuneration regime in the press and publishing sector in the past; replace and abolish regulations on the royalty and remuneration regime in the press and publishing sector that are no longer suitable with regulations on copyright fees.

The Draft Decree consists of 4 Chapters and 12 Articles (1 Chapter and 4 Articles less than Decree No. 18/2014/ND-CP).

Chapter I.General provisions (04 Articles).

Chapter II.Royalties for journalistic works (03 Articles).

Chapter III.Royalties for creation and use of works in the field of publishing (03 Articles).

Chapter IV.Terms of implementation (02 Articles).

PV