The U.S. government loses at least $422 million in tax revenue, including $291 million in personal income tax and $131 million in lost corporate income and production taxes, the report by economist Stephen Siwek.

The IPI study is the second in a series of intellectual property papers examining the impact of piracy and patent infringement. IPI will publish an analysis of the combined copyright industries (movies, music, software and video games) in a forthcoming paper.

Mitch Bainwol, chairman of the Recording Industry Association of America, said the report "vividly illustrates the serious economic harm caused by the widespread availability of illegal music either via the Internet or on the streets."