Photography Tax in Palau !!

BREAKING NEWS !!

Just heard it from a reliable source here in Palau that the government is looking to pass an Underwater Photography and Cinematographic (including video) tax in Palau. The tax will be implemented against those who engage in commercially oriented underwater imagery acquisition whilst in Palau. The tax rate is set at $50 per day !! At this time, I just got the info about ten minutes ago, it's not sure what kind of exemption, if any, locally based imaging concerns will get. The tax will be charged on a per day basis for a maximum of ten days so a maximum of $500 per calendar month.

This tax is the latest in a spate of recently introduced levies aimed at swelling the coffers of the local government.

Whilst the Palauan government have had years to plan for the ending of financial aid from the U.S, in accordance with the Compact of Free Association agreement between the two countries, they are only just starting to realize the fact that 2009 is just around the corner and as yet no real financial appraisals have been carried out to facilitate the requirements of that transition. So now its the tourism sector that bares the brunt of trying to offset the requirements of the country as a whole.

So far we have seen the implementation of a $10 cabin tax, per occupation night on live aboard operators which has now been tabled to be changed to a per person per cabin per night basis. We've recently seen the hiking of the Rock Island permit from $15 to $35 and the introduction of a Permit fee for Jellyfish Lake, both of which have been effected in the past month.

There are other taxes and financial obligations that have been levied against foreign workers permits etc and more crazy plans are in the pipeline. It seems the lawmakers here are desperately trying to target the tourism sector without thinking of the long term implications of targeting those who promote Palau in the first place. How much do pro snappers get for a 4 page spread on Palau? Well, now if you're here for ten nights to get that story you're going to have to pay a $500 tax for the pleasure !!

I'll keep you informed,

Cheers,

Mark.

P.S Mike (Veitch) what did I just say in my last email?? Makes you wonder eh?

Yikes!

50 a day?!!?! That will about kill your revenue...

I sure hope there is some sort of exemption drawn up for someone like you.

Whats funny is that $50 a day for 7 days would be worth more than a lot of mags would pay for an article...

That will chase away a lot of potential articles on Palau, especially freelancers. Shooting themselves in the foot with that one...

Any idea how they will identify a "pro"?

My images don't get published, but my gear looks pretty "pro"...

... and I'm going to Palau.

Tim

B)

I could always show them some of my pictures - that should sort out any 'professional' status in short order Tim - do you want to borrow some of my binners?

Nah, seriously it is a good question - how could this be enforced ?

Once you left the place and sold a picture how could a retrospective charge be imposed? How many commercial pictures disclose where they were taken anyway?

The only remaining option is a blanket camera tax such as you get in some buildings on land where if you want to whip out your box brownie you had better stump up the $10 or whatever.

I can't see a blanket tax on cameras being too popular in the Palau tourist industry - all in all this sounds like a politically half baked idea, bit like allowing finning in Ecuador..........

Paul C

We have commercial photo fee charges in national parks in some States here in Australia. Of the States that have the charges for small-scale (1-2 people working), most started out with daily fees ($25-$150 per day), and have since moved to a yearly license fee (average $275/year).

In some Parks the penalties are quite severe for breaking the law, heavy fines and potential jail terms. Policing is very hap-hazard.

Within the Great Barrier Reef Marine Park you only need to get a permit if you are going to use a structure (which includes a tripod). Here is their explanation.

Here in Windyloo they ask for $1000 from anyone doing DVD's on the Whale Sharks each year, however if you give them a copy of each day on a DVD you will not have to pay that fee. One can get about 4 days on a DVD and they give you the blanks.

Darren did you do the boat trip around AUS yet?

EDIT...

Look my 2000th post...

OK,

So this whole issue has got a lot of people steaming in Palau at the moment. There are around 15 or so entities, myself included, who as part of their work need to create and exploit imagery on a commercial basis. Tourists are not covered by this. This is basically the definition of the target group for this latest taxation idea. Lots of meetings are being held at the moment so headlines will be forthcoming as and when.

This whole idea was dreamed up by someone in the Legislature who really didn't think of the true implications. I mean, talk about biting the hand that feeds you! For the 'pro snappers' out there. How much would you get paid for lets say a 2 or 4 page spread on Palau? A normal dive mag promo kinda format. Now charge $50 per day needed to get the story. If that takes anywhere up to ten days then every one of those days will have a commercial photography and cinematographic tax levied against it at a rate of $50 per day. Does this then become a a financially viable story worthy of the travel and expenditure? Didn't think so. So will we see a decline in magazine articles on Palau? I think so, if this gets through.

So the people who dreamed up this plan could, in effect, be responsible for an overall reduction in promotional editorials on Palau. Reduced stories = reduced awareness, reduced awareness = reduced tourism figures. Now some will say that a lot of people already know about Palau and that may be true but there are actually quite a lot of people out there who've never heard of the place. To us imaging divers Palau is a mecca but to regular, hardly traveling, non snapping divers! "Where the hell is Palau"?

I can understand and agree why destinations such as Palau would want to instigate a Filming or Commercial Photographic permit fee so long as it was in running with what one would expect to pay in any same destination around the World. The people here just come up with a figure and system with no real logical thought process which is just way out there with no consideration for the implications or consequences.

Quite how they will enforce this whole plan still remains a mystery. Again, its something I'll pass on when I know more.

Cheers,

Mark.

Palauians, please accept my sympathies. This whole issue of charges to shoot in publicly owned places is out of hand here in most States of Australia, so we know what you are going to go through.

For the last few yeas I have avoided shooting in the States where there was too much red-tape and over-the-top fees, opting instead for the locations that encouraged photographers to shoot by not charging. I don't know how many others do the same.

That may happen in Palau too.