Licensed music incorporated into video is still music

CRA affirmed the principle that the determination of whether a royalty is subject to Part XIII tax is based on the nature of the work being licensed - that is, a musical work is still a musical work even if it is being licensed for the purpose of being integrated into a television ad or other motion picture or video product.

Scott Armstrong.  Summary of 14 December 2011 Memorandum 2011-0424221I7 under s. 212(5).