It was an issue; up here they (record and artist lobby) added a special levy to the cost of media.
The record companies hated people doing it, however the quality of cassettes meant that the copy was poor, thus it wasnt cutting too deeply into their profits. Furthermore law allowed people to make recordings for personal use. Bootleggers needed access to better equipment to make good copies which helped lock out mass production. Once other recordable media came out the same industry group demanded additional fees got placed on media.
Even before advent of home based recording equipment you use to have to pay a radio tax to our dearest government just for owning a radio set.
If you missed it the reoccurring theme is pay, pay, pay and pay even more, even if you never break the law.