LARGE resorts in the Khao Lak region have rebelled against an attempt to raise the resort room tax rate in Phang Nga province from one percent to two percent, by refusing to pay it.

The increase in tax by the Phang Nga Orborjor would have left the less expensive Khao Lak resorts paying twice as much as their counterparts on Phuket. As well as the scale of the increase, resorts managements also objected because of the lack of notification.

A letter informing the resorts that they would be expected to pay the increase arrived at most Khao Lak resorts about the middle of December, with payment requested before mid-February. All the resorts had already set their rates for 2011 with international agents, based on a one percent tax.

After a meeting, the managers of the resorts informed the Orborjor that they would be willing to consider an increase for 2012, provided the Orborjor could spell out clearly how the money will be spent to the benefit of tourism in the region.

Phuket's Orborjor uses income from the tax to fund Phuket tourism road shows, to pay for the lifeguards who will stay on Phuket's popular beaches all year long from now on, to pay for security cameras and support visitor safety and security, and to market Phuket as a destination.

In both destinations, branded resorts usually pay the tax while less honorable establishments sometimes avoid it.