The taxes barrier

María Iribarne

A topic that was on top long time ago, and was the central point in Peruvian media lately, is about the taxes that is applied to all shows considered non cultural or non artistic.

This charges was so varied and so expensives, compared to other countries, that they represented an important barrier when someone wanted to organize a mega-show in our country.

It is known that city hall governments of Peru used to collect for these shows (which were considered as “any cultural interest-events”, and, therefore, they were affected with taxes) 15% of the total collecting, plus the so called “Impuesto a la renta” (income tax) for all artist who doesn`t live here (30%), also, the Peruvian Association of Authors and Composers (APDAYC for its initials in Spanish) collects a percentage for the copyright (6%).

Its also included 19% for the selling tax (Impuesto General a las Ventas) and this kind of megashows doesn’t escape of it (but folk concerts does, for example).

Actually and thanks to a law project created and impulsed for the congress-woman Luciana León, the city hall tax was eliminated and the incoming tax was reduced to 15%.

There is no doubt that her idea had a lot of acceptance, and have had had a happy history that contrasted the idea that people don’t enjoy the big shows while the rest of the world does. And here, there are some examples: Börk, Toto and Soda Stereo (this last band from Argentina) performed in Lima in December 2007. Also, we can mention the big amount of people (more than 10 000 souls) that filled the Monumental arena for the wonderful show that Roger Waters gave in march 2007.

However, beside all this auspicious causes that could change the cultural scenary of Peru, it is mandatory that the State, through its cultural institutions, promote this kind of shows. And there was a big step done: the president García, in December, stated in favor of this kind of shows and the reduction of the taxes; but beside this, it is necessary the promotion of our country as a cultural showcase, as a country where people enjoy and understand the importance of this events that enrich the way of thinking of a community who share it.

And finally, understand that rock music is inside in the category of cultural interest – shows, as much as ballet or classical music. Rock music is not seen anymore like a hippies and hobos and delinquent – music in any part of the world.

As the musician Gerardo Manuel said, rock is culture. And who is not able to accept this undeniable truth is, definetly out of time.

Related Links
Falta de infraestructura impide realización de grandes eventos (Spanish - Diario El Comercio)¿Por qué los grandes grupos de rock no llegan al Perú? (Spanish - Diario El Comercio)
Apdayc culpa a municipios por altos impuestos a espectáculos (Spanish - Diario Correo)
Congreso peruano aprobó rebaja de impuestos a los espectáculos no deportivos (Spanish - Diario La República)