Royalties

Royalties are recurring or usage-based payments for exploiting intellectual property, neighbouring rights, personality rights, or contractual rights. In entertainment and sport they arise from music, publishing, film, streaming, merchandising, games, sponsorship, broadcasting, brand licensing, and image-right deals. Contracts should define the licensed rights, territory, duration, rate, calculation base, deductions, reporting, audit rights, currency, taxes, withholding, advances, recoupment, and termination. In Switzerland, collecting societies, copyright rules, VAT, withholding tax, and cross-border tax treaties may be relevant, depending on the right and payment flow.