Awesome. Thank you so much, Chair. I apologize to the committee.
I started out by welcoming the witnesses, and of course thanking them for the good work they're doing.
Thank you for giving us your time today. I also acknowledge the good work that artists have done, not only to keep us entertained throughout the pandemic but long, long before that, and contributing to the arts and culture within Canada.
There are a great variety of artists, and I think those voices deserve to be celebrated across this country, no matter their platform or the artistic expression of their choosing.
We've heard from a variety of artists at this committee, but I don't want to assume that either of you have listened to the different discussions that have gone on here.
Darcy Michael is a comedian and a digital first creator. He offered some really interesting comments that spurred a few questions from me.
Again, coming back to the fact that you probably haven't listened to all of the testimony that has been shared here, I would like to read a quote from his time, and then I have a question for Mr. Beaulieu.
Mr. Michael said the following:
Some of you might not be aware of this, but for some reason that no one has ever been able to explain to me, comedy is not a recognized art form in Canada. As comedy is not recognized as an art form, unlike musicians, actors, dancers and writers, comedians are not eligible for grants in Canada, which meant that the pandemic left no options to help me or my family. So I pivoted. I decided to take the concept of my sitcom to digital platforms like TikTok and Instagram, partially to entertain myself during those early dark days of the pandemic, but also because I wanted to prove the concept of the show—not in hopes of networks changing their minds, but because I'm bitter and I wanted to prove them wrong. I did. Fast-forward to today. Eighteen months after first joining TikTok, across all social media platforms, I have three million followers. Our TikTok channel alone averages 40 million to 60 million views a month. For the first time in my career, I'm reaching Canadian households that I could have only dreamed about before. Not only that, I own 100% of my content. I'm 100% in creative control, and I keep 100% of my profits. With platforms like YouTube, TikTok and Instagram, artists can be in control of their creations, their content and their businesses. Of course, networks and record labels are crying foul, because they can no longer take advantage of the starving artist. Being a content creator online has single-handedly been the best decision I've ever made. [...] Before pivoting to being a digital creator, I was making ends meet as an artist, but just barely.
He went on to say:
Not only has our success benefited us financially, but by my working directly with Canadian brands across our social media platforms, in just the last 12 months, we've helped put over $500,000 in sales back into the Canadian economy. That's from one channel on TikTok.
He further went on to say:
Bill C-11 will directly affect my ability to earn an income. [...]
I just think that we need to make an amendment to that one portion of the bill. I don't want to be included. I don't want to be paying 30% to something that I don't benefit from as a digital creator. I think it's a second tax. I think that by the end of the day I'll be paying 80% tax on my income. That isn't fair.
Mr. Beaulieu, you commented on the taxation scheme within Canada and how greater benefit might be afforded to artists. I didn't hear any specific mention of digital artists. I believe that they need to be considered, because they fit within the grand framework of Canadian artistry in this country.
We've heard from many artists who have succeeded by pivoting to these creative platforms. They already pay an income tax from their income as an individual. Now they're concerned that there's going to be an additional 30% that they'll have to pay with Bill C-11 passing, which causes them to fall under the CRTC and having to contribute to the arts fund.
My question for you is, would a 30% tax on top of the income tax that they already pay help digital first creators to better earn a living?