Broadcasters won a major victory over the CRTC late last month when a federal judge ruled that so-called ‘Part two’ fees charged by the agency were an illegal tax.

In his ruling, Judge Michel J. Shore found that the fees, which exceed $100 million per year, ‘are not connected to activities related to the broadcasting system but are in fact a leakage out of the regulatory system.’

‘Taxes must be levied only with the authority of Parliament,’ said Shore.

The Canadian Association of Broadcasters has fought a lengthy legal battle against Part two fees on the grounds that that they go into the government’s all-purpose coffers, rather than towards CRTC expenses.

‘This is a monumental victory for Canada’s broadcasters who have been forced for too long to pay an unfair and unjustified tax,’ said CAB president and CEO Glenn O’Farrell in a statement. ‘These fees have drained more than three-quarters of a billion dollars out of our broadcasting system since 1997.’

A second case, now before the Supreme Court of Canada, will decide whether the feds must refund that money.