Burning Man, the one of a kind festival partaken in by thousands every year, may be moving. Either that, or it will become more expensive. This due to a new tax implemented in Nevada state, the traditional home of the desert festival.
Burning Man CEO Marian Goodell recently made comments suggesting that the festival may move to Utah due to Nevada state attempting to place the recently created tax on tickets.
“The biggest danger facing Burning Man right now is that the State of Nevada has levied an entertainment tax,” Goodell said, adding that “We still believe that we don’t fit under a form of entertainment. Frankly, we’re not a Las Vegas show. We’re not a car race or a concert in a stadium. We’re not able to absorb that. That’s the thing right now that makes us look longingly towards Utah or any other state that might not have levied that.”
Burning Man is not the only festival that may be subject to new taxation. Electric Daisy Carnival and other big events have also said they may have to leave, because the tax would cause them to operate at a loss.
If the tax is applied to Burning Man, it will cost the organizers an additional $2.8 million, which will be passed on to ticket buyer who will pay an additional 9 percent.
“We certainly understand the Nevada Legislature’s need to identify revenue sources, but we believe this change to the Live Entertainment Tax is misguided,” said Burning Man spokesman Jim Graham.
The new tax is estimated to cost the organizers $2.8 million dollars, and raise the ticket price of the event by 9%.
Jim Graham, a spokesman for the festival, pointed out that Burning Man attendees already bring millions of dollars into the state’s economy and pay a significant amount of taxes purchasing gas, airplane tickets, food, and hotels while traveling to the event.
“Burning Man is a non-profit organization that spends more than $11m in Nevada, has vendor contracts with local businesses and is a strong supporter of arts around the state… Burning Man participants contribute more than $40m annually to the Nevada economy – they pay their fair share of sales and gas taxes, and they are tremendously supportive of local businesses.”
If the festival does move, it will not be the first, but it will be the first in a long time. Burning Man has been held in the Black Rock Desert of northern Nevada since 1986 when it moved from Baker Beach, San Francisco.
By Andy Stern