TAXATION OF ROYALTIES ON QUALIFYING LITERARY WORKS
The proposed provision in the Budget Measures Implementation Bill will apply to individuals in their capacity as author of a qualifying literary work by virtue of their title to the copyright on that work conferred by the Copyright Act. It will allow the said individual to opt for taxation at 15% on the gross amount of the royalties (final tax).
Once enacted, this new article will apply to royalties derived on or after 1 January 2021.