A review published by the U.S. based Nieman Lab indicates that the federal government’s 15 per cent digital tax credit for subscriptions to qualified Canadian news organizations has had a “muted” effect after its first year.
News Media Canada president and CEO Paul Deegan is quoted in the story. While he agrees that the current tax credit, on its own, is likely too low to create enough incentives to spur readers to subscribe, he acknowledges it is still “a positive” piece of public policy.
“The fact that there is a digital subscription tax credit signals that society values journalism and the content that our journalists produce,” Deegan said. He adds that the credit could have an even greater impact on subscriptions if it were raised to 25 or 50 per cent.
You can read the full piece here.