CEO Karl Vestli at the hearing in the Storting's Industry Committee on October 22. Now TONO will be heard again in the Family and Culture Committee. (Photo: Screenshot from the Storting's online TV)
TONO's input to the Storting's Culture Committee
VAT, KI and the regional cultural funds are among the topics TONO addresses in its submission to the Storting's Culture Committee in connection with the state budget for 2026.
/ 28/10/2025 / Willy MartinsenTONO has submitted input to the Storting's Culture Committee in connection with the state budget for 2026, and will participate in the committee's hearing on the budget.
The current VAT rules do not work for VAT-registered authors and those who have established AS for their music-making activities. The regulations are unclear and badly need modernization to professionalize and strengthen the foundation for a stronger authoring industry in the years to come.
– Copyright income is exempt from VAT, but this does not apply to limited companies. However, because TONO does not collect VAT in our licensing, we do not pay out VAT either. Among TONO members who have established limited companies for their activities, some pay VAT for security reasons. Others do not. We have given our TONO members a guarantee if they should receive a VAT claim on this income. The regulations are unclear and unpredictable, and put Norway at risk of authors flagging all or part of their activities to other countries. A modernized VAT regulation is a basis for strengthening Norway as a music exporting nation in the future, says Vestli.
TONO therefore asks the government to follow up on the recommendations in NOU. The Land of Music (2025) about investigating a cultural VAT for the music field.
TONO also recently submitted consultation input on value-added tax to the Storting's Industry Committee. Read it here.
The rapid development of artificial intelligence creates opportunities and challenges for creators. A fundamental problem is that models are trained on protected music without permission.
“This undermines copyright and the right of copyright holders to fair remuneration. We therefore ask that the implementation of the EU's AI Act and Digital Services Act be done in a way that empowers creators in their dealings with AI companies,” says Vestli.
This involves clear requirements for licensing and transparency for the use of music in AI training, and that collective management is given a clear and formal role.
– We do not want to slow down technological development. Quite the opposite. Collective licensing of music rights is the most efficient and simplistic way to clear rights, while ensuring that the creators are paid for both training and use, says Vestli.
The regional cultural fund scheme was established in 2025 and immediately had a major impact on the organizing field. The proposal to reduce the framework from 75 to 40 million kroner in 2026 will affect small and medium-sized concert venues, local teams and festivals, arenas where Norwegian creators have their works performed.
TONO therefore writes in the submission that we share the concerns of Norwegian cultural organizers and the Norwegian Music Council. The cut undermines the government's goal of a cultural boost that will reach the entire country, and we therefore urge the Storting to reverse the cut in the regional cultural funds, and strengthen the scheme rather than reduce it.
A strong organizing field is good cultural policy, and good business policy for Norwegian creators.
TONO supports the proposal in Music Country-committee on a comprehensive message for music policy, in which artist economics, the organizing field, volunteerism and digital policy are seen in context.
“The music ecosystem works if policies are coordinated across ministries. We need a holistic approach that strengthens TONO's members, and at the same time provides good and stable framework conditions for organizers and volunteers,” concludes Vestli.