Library of Congress
Copyright Oce-LD
101 Independence Avenue SE
Washington, DC 20557-6400
Ocial Business
Penalty for Private Use $300.00
Forwarding and return postage guaranteed
address correction requested
 
   
   
(
 
/
)
How to File the Annual Statement of Account and
Royalty Fee
The annual statement of account covers the entire accounting
year, including the fourth quarter distribution, and provides
for the reconciliation of the aggregated accounting of
digital audio recording devices and media for the reported
accounting year. (The reconciliation also provides for credits,
underpayments, reductions, refunds, and royalties paid for
quarters 13.)
:
Make sure that you are using the right form and
read the instructions in the form. Collect all the necessary
information.
:
Access ll-in statement of account form at
http://www.copyright.gov/forms/formdart-a.pdf on a personal
computer and print it out or hand print the information in
dark ink. Give all the required information.
:
Sign in space H. The statement of account is not
acceptable unless it bears the original handwritten signature
of an ocer, principal, or agent authorized to certify it
pursuant to the Audio Home Recording Act of 1992 (Chapter 10,
Section 1003(c)(2) of title 17 USC).
:
Complete the report of the primary auditor in space I
(see page iii of the instructions for more information).
:
Royalty fees must be paid by an electronic payment,
pursuant to Section 201.28 (h)(1) of Title 37 , CFR. Make an
electronic payment in the amount of the royalty fee due as
calculated in space C.
For detailed instructions, see circulars 74 (on payments by
wire), 74 (on payments by Automated Clearing House credit),
or 74 (on payments using pay.gov), available at
www.copyright.
gov/circs/circ74
.
:
Send the completed statement of account to:
Library of Congress
Copyright Oce-LD
101 Independence Avenue SE
Washington, DC 20557-6400
: Retain a copy of the entire statement, as led, in
case it is needed for future reference.
For Copyright Oce regulations, forms, or additional
information, visit
www.copyright.gov or contact the Licensing
Division between 8:30  and 5:00  eastern: (202) 707-8150
(phone); (202) 707-0905 (fax); or licensing@copyright.gov (email)
.
 :
The statement of account must be led within
two months after the close of the fourth quarter covered by the statement.
Instructions are at the end of this form (pages iiii).
    
Date received: Amount:
Remittance number:
   
Annual Statement of Account
for Digital Audio Recording Products
5
A
        
1 Check the applicable box. If your accounting period is
the calendar year, enter the year; if it is a scal year,
enter the 12-month period and years.
Calendar year: January 1 through December 31, 20
Fiscal year: beginning
, 20
and ending
, 20
2 Enter the three-month period and year(s) for the fourth quarter of this ling.
Quarter 4 beginning
, 20
and ending
, 20
B
, ,   
Give the full legal name of the “manufacturing or importing party” and any other name used for the purpose of
conducting the business of manufacturing and distributing or importing and distributing digital audio recording
products.
1 Legal name
2 Mailing address
Give other business name(s), if dierent from Line 1.
3 Business name
4 Check the applicable box to identify your ling status.
Manufacturer Importer Manufacturer and importer
Privacy Act Notice: Chapter 10 of title 17, United States Code, authorizes the Copyright Oce to collect the personally identifying information (PII) requested on this form in order to
process your statement of account. PII is any personal information that can be used to identify or contact an individual, such as names, addresses, and telephone numbers. The Copyright
Oce collects this PII in order to identify the entities making the royalty fee payments. By providing your PII, you are agreeing to this routine use of it. The eects of not providing the
PII requested are that it may delay processing of your statement of account, and it may aect the legal suciency of the ling, a determination that would be made by a court of law.
Check here if this is the manufacturer's/importer's
rst ling. If not, enter the ID number assigned by the
Licensing Division
form dart
a
Return to:
Library of Congress
Copyright Oce-LD
101 Independence Avenue SE
Washington, DC 20557-6400
confidential

Do not
include the
royalty fee
from this
example
in your
computations.
C
computation of royalty fee
:
If you need more space, photocopy space C and attach the additional page(s) to the statement of account.
 :
The information you list in space C incorporates your distribution of devices and media during the entire
accounting year. Columns 17 and lines 18 permit you to reconcile your accounting of activities for the year to what was
actually distributed or adjusted based on your company’s accounting records. See page ii of the instructions for more
information about completing this space.
   :
The formula to compute the royalty fee involves 14 components combined on pages 23.
There are two dierent formulas for computing the royalty fee: (1) a formula for audio recording devices that are identi
-
ed by the letters A, B, C, or D in column 4; and (2) a formula for audio recording media that are identied by the letter E in
column 4. For further explanation of the information required for each column, see pages ii–iii of the instructions.
        :
On a line-by-line basis, enter the information
in columns 18, 10, and 12 and compute the royalty fee:
Step 1: Multiply column 7 by column 8 and enter the result in column 9.
Step 2: Multiply column 7 by column 12 and enter the result in column 13.
Step 3: Multiply column 6 rst by column 7, then by column 10, and enter the result in column 11.
Step 4: Select the appropriate royalty fee from column 9, 11, or, 13 as explained in the instructions, page ii, and enter
that gure in column 14.
        :
On a line-by-line basis, enter the information
in columns 1–7 and 10 and compute the royalty fee:
Step 1: Multiply column 6 rst by column 7, then by column 10.
Step 2: Enter the result of step 1 in column 14.
    :
Complete lines 18 on page 3.
  :
You may
not
round o cents to whole dollars when calculating the royalty fee on a line-by-
line basis in space C.
However
, you
may
round cents to whole dollars for the total fee due on line 8, space C.
2 · 

⁄
confidential
1
Product categories
Portable personal
recorders
2
Technologies
DCC
3
Series or
model no.
001
4
Fee
code
B
5
Source
code
M
6
Transfer
price
$275.00
7
No. of units
distributed
25,000

C
computation of royalty fee
Line 1: Total column 14 and enter the gure here ................................................................................................................. $
Line 2: Reduction
:
Enter the amount from space D, page 4 ....................................................... $
Line 3: Credits
:
Enter the amount from space E, page 4 ............................................................. $
Line 4: Royalties
:
Enter the total amount of royalties paid for quarters 1 through 3 ......... $

:
You
must
subtract from the royalties amount (line 4) the total amount of any refund(s)
you received from the Copyright Oce for quarters 1 through 3. Also do not include any interest charges paid
to the Copyright Oce for quarters 1 through 3.
Line 5: Add lines 2 through 4 and enter here .......................................................................................................................... $
Line 6:
   
a) If line 5 is less than line 1, subtract line 5 from line 1 ............................................................................................... $
(
This is your adjusted annual royalty fee
)
b) If line 5 is more than line 1, subtract line 1 from line 5 ............................................................................................ $
(
This is the amount of your refund
)

Line 7: Interest charge
:
Enter the amount from line 6, space F, page 4 .......................................................................... $
Line 8: Add lines 6(a) and 7 and enter total here.
      
..................................................................................................................... $
Remit this amount in the form of an
electronic payment
payable to
Register of Copyrights.
:
Royalty fees are required to be paid by electronic payment. See page i of the instructions for details.
confidential


· 3
7
No. of units
distributed
25,000
8
Minimum
fee per unit
$1.00
9
Minimum
fee
$25,000.00
10
Rate
.02
11
Rate fee
$137,500.00
12
Maximum
fee per unit
$8.00
13
Maximum
fee
$200,000.00
14
Royalty fee
$137,500.00
D
   
Section 1004 (a)(2)(A) of the Audio Home Recording Act of 1992 provides for a royalty payment to be reduced in one
specic case. This section reads:
“If the digital audio recording device and such other devices are part of a physically integrated unit, the royalty payment shall be
based on the transfer price of the unit, but shall be reduced by any royalty payment made on any digital audio recording device
included within the unit that was not rst distributed in combination with the unit.”
Is this provision applicable to any “Fee Code A” item listed in column 4, space C during the annual accounting period?
No
Yes. Enter the total here and on line 2, space C, page 3. ................................................................................. $
E
   
If a royalty payment has already been made by the manufacturer or importer for digital audio recording devices and
media that are returned as unsold or defective, or exported, the manufacturing or importing party may take a credit
during the period when the products are returned. You may deduct the amount of the royalty payment within two
years following the date royalties were paid.
During this annual accounting period, do you claim a credit for products returned as unsold or defective, or
exported,
and
were they returned or exported within two years of the date royalties were paid on them?
No
Yes. Enter the total amount here and in line 3, space C, page 3. ................................................................ $
F
   
You must complete this worksheet for royalty payments submitted as a result of a late payment or underpayment.
Line 1: Enter the amount of late payment or underpayment .......................................................................... $
Line 2: Enter interest rate* ........................................................................................................................................... × %
Line 3: Multiply line 1 by line 2 and enter here. ..................................................................................................... $
Line 4: Enter number of days late .............................................................................................................................. × days
Line 5: Multiply line 3 by line 4 and enter the result here .................................................................................. $
Line 6: Multiply line 5 by .00274** and enter here and on line 7 in space C (interest charge) ................. $
* To view the interest rate chart click on www.copyright.gov/licensing/interest-rate.pdf. For further assistance, contact the
Licensing Division at (202) 707-8150 or licensing@copyright.gov.
**
This is the decimal equivalent of
1
365, which is the interest assessment for one day late.
4 · 

⁄
confidential
G
      
(
Identify an individual we can contact about this statement of account.
)
Name
Phone Fax
Title of individual Email (optional)
Address
H

This statement of account must be certied as accurate, and must be signed in accordance with the Audio Home
Recording Act of 1992, Pub. L. 102-563, 106 Stat. 4237.
I, the undersigned, hereby certify that I am an authorized ocer, principal, or agent of the manufacturing or importing
party identied in Space B. I have examined the statement of account and hereby declare under penalty of law that
all statements of fact contained herein are true, complete, and correct to the best of my knowledge, information, and
belief, and are made in good faith. [18
USC
§1001]
 
   

    
This annual statement of account or any amendment to the statement must be audited by the primary auditor. The
report of the auditor may be completed in space I starting on page 6, or attached to this annual statement of account.
Detailed information about preparing the primary auditor’s report has been reprinted from the Copyright Oce’s
regulations on page iii of the instructions.
confidential


· 5
Privacy Act Notice: Chapter 10 of title 17, United States Code, authorizes the Copyright Oce to collect the personally identifying information (PII) requested on this form in order to
process your statement of account. PII is any personal information that can be used to identify or contact an individual, such as names, addresses, and telephone numbers. The Copyright
Oce collects this PII in order to identify the entities making the royalty fee payments. By providing your PII, you are agreeing to this routine use of it. The eects of not providing the
PII requested are that it may delay processing of your statement of account, and it may aect the legal suciency of the ling, a determination that would be made by a court of law.
Space 
·
Opinion of the Primary Auditor
6 · 

⁄
confidential
Space , continued
·
Opinion of the Primary Auditor
confidential


· 7
The Audio Home Recording Act of 1992 (Pub. L. No. 102-563) went into
effect October 28, 1992. Chapter 10 of title 17, USC, creates new statutory
obligations for parties who import and distribute in the United States or
manufacture and distribute in the United States any digital audio record-
ing device or digital audio recording medium. This law was enacted after
interested parties came to an agreement about associated rights and com-
pensation in an age in which near-perfect copying of protected audio works
by consumers is possible.
Steps
:
Make sure that you are using the right form and read the instruc-
tions in the form. Collect all the necessary information.
:
Access fill-in statement of account form at http://www.copyright.
gov/forms/formdart-a.pdf on a personal computer and print it out or hand
print the information in dark ink. Give all the required information.
:
Sign in space H. The statement of account is not acceptable unless
it bears the original handwritten signature of an officer, principal, or agent
authorized to certify it pursuant to the Audio Home Recording Act of 1992
(Chapter 10, Section 1003(c)(2) of title 17 USC).
:
Complete the report of the primary auditor in space I (see page
iii of the instructions for more information).
:
Royalty fees must be paid by an electronic payment, pursuant to
Section 201.28 (h)(1) of Title 37, CFR. Make an electronic payment in the
amount of the royalty fee due as calculated in space C.
For detailed instructions, see circulars 74a (on payments by wire), 74b (on
payments by Automated Clearing House credit), or 74c (on payments using
pay.gov), available at www.copyright.gov/circs/circ74 .
:
Send the completed statement of account to:
Library of Congress
Copyright Office-LD
101 Independence Avenue SE
Washington, DC 20557-6400
:
Retain a copy of the entire statement, as filed, in case it is needed
for future reference.
For Copyright Office regulations, forms, or additional information, visit
www.copyright.gov or contact the Licensing Division between 8:30 a m
and 5:00
p m eastern: (202) 707-8150 (phone); (202) 707-0905 (fax); or
licensing@copyright.gov (email).
Denitions
• “Digital audio recording product” means digital audio recording devices
and digital audio recording media.
“Digital audio recording device” is any machine or device of a type com-
monly distributed to individuals for use by individuals, whether or not
included with or as part of some other machine or device, the digital
recording function of which is designed or marketed for the primary
purpose of, and that is capable of, making a digital audio copied re-
cording for private use, except for (a) professional model products, and
(b) dictation machines, answering machines, and other audio recording
equipment that is designed and marketed primarily for the creation of
sound recordings resulting from the fixation of nonmusical sounds.
“Digital audio recording medium is any material object in a form com-
monly distributed for use by individuals that is primarily marketed or
most commonly used by consumers for the purpose of making digital
audio copied recordings by use of a digital audio recording device.
“Product category” of a device or medium is a general class of products
made up of functionally equivalent digital audio recording products
with substantially the same use in substantially the same environment,
including, for example, hand-held portable integrated combination units
(“boomboxes”), portable personal recorders, stand-alone home recorders
(“tape decks), home combination systems (“rack systems”), automobile
recorders, configurations of tape media (standard cassettes or micro-
cassettes), and configurations of disc media, such as 2½", 3", or 5
"
discs.
• “Technology” of a device or medium is a digital audio recording product
type distinguished by different technical processes for digitally record-
ing musical sounds, such as digital audio tape recorders (DAT), digital
compact cassettes (DCC), or recordable compact discs, including mini-
discs (MD).
“Manufacture means to produce or assemble a product in the United
States. A “manufacturer” is a person who manufactures.
“Manufacturing or importing party” refers to any person or entity that
manufactures and distributes, or imports and distributes, any digital
audio recording device or digital audio recording medium in the Unit-
ed States, and is required under 17 USC section 1003 to file with the
Copyright Office quarterly and annual statements of account.
• “Primary auditor” is the certified public accountant retained by the
manufacturing or importing party to audit the amounts reported in
the annual statement of account submitted to the Copyright Office. The
primary auditor may be the certified public accountant engaged by the
manufacturing or importing party to perform the annual audit of the
party’s financial statement.
Annual statement of account” is the statement required under 17 USC
section 1003, to be filed no later than two months after the close of the
accounting period covered by the annual statement.
• “Quarterly statement of account” is the statement accompanying royalty
payments required under 17 USC section 1003, to be filed for each of
the first three quarters of the accounting year, and no later than 45 days
after the close of the quarterly period covered by the statement.
Filing Information
Manufacturing or importing parties must file a separate quarterly state-
ment of account for quarters 1, 2, and 3, corresponding to the calendar or
fiscal year elected. The annual statement of account covers the entire ac-
counting year, including the fourth quarter distribution, and provides for
the reconciliation of the aggregated accounting of digital audio recording
devices and media for the reported accounting year. (The reconciliation
also provides for credits, underpayments, reductions, refunds, and royalties
paid for quarters 1–3).
Example: In quarters 1, 2, and 3 the royalty fee was calculated for 25,000
units distributed for each quarter, at the transfer price of $275 (see the
example in space C, pages 2–3). There was the same distribution of 25,000
units for the fourth quarter. The annual statement of account would show
100,000 units at the transfer price of $275, and a royalty fee of $550,000.
You would reconcile your royalty fee due in space C, lines 1–8 of the an-
nual statement. In this example, you would deduct the royalty payment
of $412,500 made for quarters 1–3, and submit $137,500 with the annual
statement.
Space A · Accounting Period
The annual accounting period is either on a calendar-year or fiscal-year
basis, which was elected in the first quarter by the manufacturer or importer.
The annual statement of account covers the entire accounting year (includ-
ing the fourth quarter distribution of devices and media), corresponding
united states copyright office
5
Annual Statement of Account
DA RT ⁄ A Instructions
to the calendar or fiscal year selected. Enter the calendar- or fiscal-year
designation, including the beginning and ending month, day, and year(s)
of the fourth quarter.
Space B · Name, Address, and Filing Status
The full legal name of the manufacturing or importing party will be included,
together with the fictitious or assumed name, if any, used by the person or
entity for the purpose of conducting the business of manufacturing and
distributing or importing and distributing digital audio recording products.
In addition, space B requires the full mailing address of the manufactur-
ing or importing party, including a specific number and street name or rural
route of the place of business of this person or entity. A post office box or
similar designation will not be sufficient for this purpose except where it is
the only address that can be used in that geographic location. Space B also
requires a designation of the manufacturing or importing party’s status,
such as manufacturer, importer, or manufacturer and importer.
Space C · Computation of Royalty Fee
:
In space C, the total number of units distributed should be
aggregated for the entire year for each transfer price, source code, fee code,
series or model number, technology, and product category that is different.
Example
:
In the quarterly statement of account for the first quarter, you
reported in space C, 25,000 units distributed (column 7) at the transfer price
of $275 (column 6); the product categories (column 1) was Portable Personal
Recorders, technologies (column 2) DCC, series or model number (column
3) 001, fee code (column 4) B, source code (column 5) M. In the second,
third, and fourth quarters everything was the same, except the transfer price
changed to $250. For the annual statement of account in space C, column 6,
you would enter “$275”; in column 7 you would enter “25,000”; on the next
line in column 6, you would enter “$250”; and in column 7, you would enter
“75,000. The information in columns 15 would be the same for both lines.
Column 1: Product Categories ·
Enter the product category of the digital
audio recording products manufactured and distributed or imported and
distributed by the manufacturing or importing party during the account-
ing year covered by the statement. Product categories include hand-held
portable integrated combination units (“boomboxes”), portable personal
recorders, stand-alone home recorders (“tape decks”), home combination
systems (“rack systems”), automobile recorders, configurations of tape me-
dia (standard cassettes or microcassettes), and configurations of disc media,
such as 2½", 3", and 5" discs.
Column 2
:
Technologies ·
Enter the technology of the digital audio record-
ing products manufactured and distributed or imported and distributed by
the manufacturing or importing party during the accounting year covered
by the statement. The technology of a device or medium is a product type
distinguished by different technical processes for digitally recording musi-
cal sounds, such as digital audio recorders (DAT), digital compact cassettes
(DCC), or different disc-based technologies such as minidisc (MD).
Column 3
:
Series or Model Number ·
Enter the model (or, in the case of
media, series) numbers assigned by the manufacturer to the digital audio
recording products manufactured and distributed or imported and distrib-
uted by the manufacturing or importing party during the accounting year
covered by the statement.
Column 4
:
Fee Code
· Enter the fee code that is associated with the product.
Fee Code A applies to a digital audio recording device distributed as a
physically integrated unit.
Fee Code B applies to a device that is not a physically integrated unit where
substantially similar separate components have been distributed separately at
any time during the previous four quarters using the average transfer price.
Fee Code C applies to a device that is not a physically integrated unit
where such separate components have not been distributed separately at
any time during the preceding four quarters using the proportional value
of such devices to the combination as a whole.
Fee Code D applies to a stand-alone digital audio recording device.
Fee Code E applies to a digital audio recording medium.
:
When computing the royalty fee for the recording medium, do
not complete columns 8, 9, 12, or 13.
Column 5
:
Source Code ·
Enter the source code for the product category.
Enter an M if the product was manufactured in the United States. Enter an
I if the product was imported into the United States.
Column 6
:
Transfer Price ·
Enter the transfer price of the product. The
transfer price for imported products is the actual entered value at United
States Customs (exclusive of any freight, insurance, and applicable duty).
For domestic products, the transfer price of a product is the manufacturer’s
transfer price (FOB the manufacturer, and exclusive of any direct sales taxes
or excise taxes incurred in connection with the sale). If the transferor and
transferee are related entities or within a single entity, the transfer price
shall not be less than a reasonable arms-length price under the principles
of the regulations adopted pursuant to section 482 of the Internal Revenue
Code of 1986.
Column 7
:
Number of Units Distributed ·
Enter the number of units dis-
tributed. “Distribute” means to sell, lease, or assign a product to consumers
in the United States, or to sell, lease, or assign a product in the United States
for ultimate transfer to consumers in the United States.
Column 8
:
Minimum Fee Per Unit ·
Enter the statutory minimum fee of
$1.00 for all digital recording devices.
Column 9
:
Minimum Fee ·
Multiply the number of units distributed (col-
umn 7) by the minimum fee per unit (column 8) and enter the result in
column 9 for the minimum fee.
Column 10
:
Rate ·
Enter the statutory royalty rate of 2 percent for digital
audio recording devices or 3 percent for digital audio recording media.
Column 11
:
Rate Fee ·
Multiply the transfer price (column 6) by the num-
ber of units distributed (column 7) and then multiply the result by the rate
(column 10) and enter that figure in column 11 for the rate fee.
Column 12
:
Maximum Fee Per Unit ·
Enter the statutory maximum fee
per unit of $8.00 for non-physically integrated units and $12.00 for physi-
cally integrated units.
Column 13
:
Maximum Fee ·
Multiply the number of units distributed
(column 7) by the maximum fee per unit (column 12) and enter the result
in column 13 for the maximum fee.
Column 14
:
Royalty Fee ·
The manufacturing or importing party must pay
either the rate fee, the minimum fee, or the maximum fee. To determine the
appropriate royalty fee for digital audio recording devices:
Enter the rate fee (column 11) if it is greater than the minimum fee
(column 9) and less than the maximum fee (column 13).or—
Enter the minimum fee (column 9) if the rate fee (column 11) is less than
or equal to the minimum fee (column 9). —or—
Enter the maximum fee (column 13) if the rate fee (column 11) is greater
than or equal to the maximum fee (column 13).
Line 1 · Total column 14 and enter the amount in line 1. This figure is
the computation of the year’s total royalty fee for devices and media. It
will be adjusted.
Line 2 · Provides for a “reduction adjustment of your year’s royalty fee
as calculated in space D.
Line 3 · Provides for a credit” adjustment in space E to your year’s roy-
alty fee.
Line 4 · You may subtract the royalty fee that you paid to the Copyright
Office for quarters 1, 2, and 3.
:
This gure does not include refunds
received or interest charges paid during these quarters. You must subtract the
total amount of any refunds you received from the Copyright Oce for quarters
1 through 3. Also, you cannot include any interest charges paid to the Copyright
Oce for quarters 1 through 3.
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· ii
Line 5 · This is the total amount that may be subtracted from your year’s
total royalty fee as calculated in column 14 of space C.
Line 6 · The adjusted royalty fee will result in either a royalty payment
due for the year or a refund to be issued by the Licensing Division.
Line 7 · The interest charge covers a late payment or underpayment as
calculated in space F for the annual statement of account. Do not include
any interest charges paid for the previous quarters.
Line 8 · This is the total royalty fee due.
Space D · Reduction of Royalty Payment
This space applies to a reduction of the royalty payment for digital audio
recording devices in physically integrated units that were not first distrib-
uted in combination with a unit, and upon which royalty fees have been
previously paid pursuant to section 1004 (a)(2)(A) of Public Law 102-563.
You must give the total amount applicable for the entire accounting year.
Space E · Credits for Returned Products
When digital audio recording products are returned to the manufacturer or
importer as unsold or defective merchandise, or are exported, the manu-
facturing or importing party may take a credit during the period when the
products are returned or exported. The credit may be taken within two
years of the date royalties were paid to the Copyright Office for the prod-
ucts by deducting the amount from the royalty fee due. The total amount
of the credits for the entire accounting period must be given in space E. If
the manufacturer or importer later distributes any returned or exported
merchandise for which a credit has been taken, the products must be listed
in space C and a new computation of the royalty fee will be made based
on the transfer price of the products at the time of the new distribution.
Space F · Interest Worksheet
Interest will be imposed on underpayments and late payments of royalties
due. Manufacturing or importing parties must calculate their own interest
charge on the worksheet. Manufacturers or importers submitting royalty
payments in an untimely fashion should include the proper interest charge
with their payments. The interest rate is the rate quoted as the current
value of funds to treasury, as published in the Federal Register, in effect on
the first business day after the close of the filing deadline for the relevant
accounting period.
The interest rate for a particular accounting period may be obtained by
consulting the Federal Register or the Licensing Division of the Copyright
Office for the applicable current value of funds rate.
For underpayments and late payments, the interest shall begin to accrue
on the first day after the close of the filing date for that accounting period.
For a late payment, the accrual period ends on the date that the statement of
account and proper form of payment are received in the Copyright Office.
For underpayments, the accrual period ends on the date appearing on the
electronic payment, provided that the remittance is received in the Copy-
right Office within five business days of that date. Interest is not required
to be paid on any royalty underpayment or late payment from a particular
accounting period if the interest charge is less than or equal to $5.00.
Space G · Contact
Clearly identify an individual to whom the Copyright Office can write or
call about the annual statement of account.
Space H · Certication
Each annual statement of account must include the handwritten signa-
ture of an authorized officer, principal, or agent of the “manufacturing or
importing party” identified in space B. The statement of account must be
signed as accurate and in accordance with the Audio Home Recording Act
of 1992, Pub. L. 102-563, 106 Stat. 4237 and Chapter 10, Section 1003(c)
(2) of title 17 USC. The signature must be accompanied by the printed or
typewritten name of the person signing the annual statement of account.
It must also note the date the document is signed. The signature provides
the certification as noted in space H.
Space I · Opinion of the Primary Auditor
This section applies to preparing the primary auditor’s report. The regula-
tions are printed below to provide you with the requirements for the audit.
Copyright Office Regulation 201.28(F)(3) reads:
Accountant’s opinion. Each annual statement of account or any amended
annual statement of account shall be audited by the primary auditor as de-
fined in paragraph (b)(7) of this section. An amendment may be submitted
to the Office either as a result of responses to questions raised by a Licensing
Division examiner or on the initiative of the manufacturing or importing
party to correct an error in the original statement of account.
(i) The audit shall be performed in accordance with generally accepted au-
diting standards (GAAS). The audit may be performed in conjunction with an
annual audit of the manufacturing or importing party’s financial statements.
(ii) The CPA shall issue a report, the “primary auditor’s report,” reflecting
his or her opinion as to whether the annual statement presents fairly, in all
material respects, the number of digital audio recording devices and media
that were imported and distributed, or manufactured and distributed, by the
manufacturing or importing party during the relevant year, and the amount
of royalty payments applicable to them under 17 USC chapter 10, in accordance
with that law and these regulations.
(iii) The primary auditor’s report shall be filed with the Copyright Office
together with the annual statement of account, within two months after the
end of the annual period for which the annual statement of account is pre
-
pared. The report may be qualified to the extent necessary and appropriate.
(iv) The Copyright Office does not provide a specific form, or require a
specific format, for the CPAs review; however, in addition to the above, certain
items must be named as audited items. These include the variables necessary
to complete space C of the statement of account form. The CPA may place
his or her opinion, which will serve as the “primary auditor’s report,” in the
space provided on Form DART
/
A, or may attach a separate sheet or sheets
containing the opinion.
(v) The auditor’s report shall be signed by an individual, or in the name
of a partnership or a corporation, and shall include city and state of execu-
tion, certificate number, jurisdiction of certificate, and date of opinion. The
certificate number and jurisdiction are not required if the report is signed in
the name of a partnership or a corporation.
Filing Dates
Annual statements of account are due no later than two months after the
close of the calendar or fiscal year covered by the statement. The information
relating to the fourth quarter, as well as the accumulation for the year, shall be
contained in the annual statement of account. (Quarterly statements of ac-
count shall be filed at intervals of three months for the first three quarters of
the calendar year or fiscal year cycle. Quarterly statements of account are due
no later than 45 days after the close of the period covered by the statement.)
Corrections and Refunds
Errors in the computation of the royalty payments that result in un-
derpayment of royalties can be corrected and supplemental payments
made upon compliance with Copyright Office procedures. Contact the
Licensing Division for instructions.
Refund requests must be received within two months after the close of a
filing period. Contact the Licensing Division for filing procedures and fees.
Condentiality of Statements of Account
Public access to the Copyright Office files of statements of account for digi-
tal audio recording products shall not be provided. Access will be granted
only to interested parties in accordance with regulations prescribed by the
Register of Copyrights pursuant to section 1003(c) of title 17, United States
Code, as amended by Pub. L. 102-563.
/ : / Printed on recycled paper
iii · 
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