Collection scheme
Myndstef shall collect royalties for public use of it´s members copyrighted visual work, according to Myndstef´s tariffs, available here, through special agreements or by individual agreements, according to the usage or other terms.
Myndstef also undertakes collection of royalties for non-members in cases where contracts are made for the use of visual art works and at the same time takes responsibility for the payment of these fees to the respective authors, whereby they are on an equal basis to members with respect to collection and payment of such fees. In reference to, inter alia, Art. 12 b and Art. 14. of the copyright Icelandic copyright law.
Furthermore, Myndstef is granted authority to grant extended collective licensing based on paragraph 2. Art. 26 a, meeting further conditions and obtainment of recognition, cf. paragraph 2.-4. of the same Art.
Myndstef undertakes collection of droit de suite royalties for the commercial resale of works of art. The Board may take over the tasks of the Visual Arts Fund of Iceland to this end, cf. Art. 25 b of the Copyright Act no. 73/1972, as amended by Art. 9 of Act no. 57/1992, and as per Section V (cf. paragraph 6 of Art. 23) of the Act respecting Professional Commerce no. 28/1998. Collection of these fees is also subject to the provisions of Regulation no. 486/2001.
Furthermore, Myndstef shall handle relations with comparable bodies in other countries, i.e. through reciprocal agreements, please see here. Myndstef also represent members in relation to Fjölís, IHM, Bókasafnssjóð, Fulltrúaráð KÍM (the Icelandic visual art export), Höfundaréttarráð (The Icelandic Copyright association) and other umbrella authors associations in accordance with relevant purposes, please see here. Myndstef also monitors the development of laws, regulations and business practices in this area, and negotiates with public and private bodies on its members behalf in matters involving their copyright interests for the public presentation and use of their works. Myndstef nominates a representative for the Copyright Committee of the Icelandic Ministry of Culture, please see here.
Distribution
The funds that Myndstef collects shall be allocated as far as possible to the respective copyright holder.
Allocation takes place at least four times a year. Collection costs will be deducted from the allocation, as well as taxes. Upon resale, the proportion of copyright holders is calculated on the basis of Article 25. b. of the Copyright Act 1972 no. 73
The Board is authorized to allocate funds which by their nature cannot be allocated directly on an individual basis in the form of grants to working visual artists after the associations operating costs have been deducted. Allocation due to extended collective licensing abides by these rules. Royalties and copyright fee through extended collective licenses agreements, are based on agreements between the user, the government and/or users associations, and Myndstef. Please see more about the allocation rules for Myndstef’s grants on our homepage here. Non-members and individual members in demarcated cases may, however, claim an individual fee for use on the basis of the contractual obligation license. A request for such a fee will only be addressed to the association and must be in writing.
Members as well as non-members can apply for grants. The Board appoints an allocation committee that decides grants in accordance with allocation rules. The Board shall consult the state certified public accountant of the association before a decision is made regarding the amount which will be allocated in the form of grants.
The Board can also decide on allocation of grants to member associations for special projects under their supervision.
The fees that Myndstef collects are paid out to authors and copyright holders on a quarterly basis. Myndstef retains 20% of payments for the administration and collection of copyright and resale rights, as well as a reasonable amount when collecting through ECL. The beneficiary must have collected ISK 10,000 or more in order to be paid out.
Copyright income is taxed according to Icelandic copyright tax law. On 2 September 2019, the Icelandic parliament approved amendments to the law, which means that copyright income ceases to be taxed as income tax (36.94% – 46.24%) but will be taxed as capital income tax (22%). The law entered into force on 1 January 2020 and will be implemented with withholding tax in the year 2020 and with the levy in the year 2021. Copyright income paid to authors / rightholders from Myndstef will therefore be taxed in income until 2019 (i.e. in the tax return for the year 2020).
In order to be able to submit copyright payments, Myndstef needs e.g. to have information on the ID number, address and bank account of the right holder.
Copyright is inherited and is valid for 70 years from the date of the author’s death. In order to be able to pay out to heirs, Myndstef must have a certified agent for all heirs, who is an advocate for all heirs in copyright matters and receives payments from Myndstef. Capital income tax is also deducted from payments to heirs.
Revised and updated
1 November 2021