The "white nose tax."

[Dave Hounddriver]

Since the white nose tax was mentioned in another thread (here) I thought it would be interesting to bring up examples of white nose tax and see what others have noticed.

Two examples that I want to make involve very small amounts but illustrate the concept.

First, when I was at twin lakes last week I was informed that foreigners pay a little bit more than locals.  I did not even ask how much as the total entry fee for two people plus car and parking fee was 180 pesos. If it was something I did quite often I would be concerned but I have been to twin lakes twice in my lifetime so not a big deal.

Second is the foreign "run" businesses in the market and the sari sari stores.  Two days ago we were in the market to buy a bag of our favorite brand of rice.  The shop in the market asked 265 pesos and I commented to Lynne how the price must have come up as that this the same price the major chains are charging.  She said: "Yes and I asked what is the last price and they said a foreigner owns this shop so no discount"  AHA! Western marketing concepts.  I find in many of these small stores, which have a foreigner influencing the price, that it is always higher so we went to the next shop around the corner.  Our rice is 255 pesos at our next stop.  I say to Lynne "See, I told you foreigners raise their prices higher" and she said "Let me check the next shop" and we bought out bag of rice at that next shop for 252 pesos.  That is a savings of 5% on a basic item that is supposed to have a regulated price.

Another example is at the sari sari stores in our neighborhood.  Our neighbor is backed and instructed by a foreigner on how to conduct business.  She adds a couple of pesos to every item.  For example, she charges 30 pesos for a litro of Coke vs the 28 that others are charging.  She adds 5 pesos to a cell phone load when the others add only 2.  In each of these cases the "white nose" has added 5% profit to his mark-up.  Its good business for him as the locals do not seem to care.  They patronize the higher price stores as much as the lower price one.  It shocks me that they are not more price conscious but ask a filipino how much is 5% and they will often give a vacant stare in reply.  To me, 5% tacked on to everything is 2,000 pesos a month off my monthly budget.

 

 

[MikeB]

Never heard of "white nose tax". Have heard of "long nose tax" or long nose overcharges, etc. Doesn't apply to me because my nose is fairly flat. 

[Old55]

Oh yea Mike all the kids are talking about the white nose tax it's included in the new and improved foreigner discount program.

[scott h]

15 minutes ago, Dave Hounddriver said:

 It shocks me that they are not more price conscious

I don't want to use the word lazy because of the connotations, lets say convenience aware. How many times have you noticed someone taking a jeep or a trike instead of walking 500 meters? 

[Dave Hounddriver]

5 minutes ago, scott h said:

lets say convenience aware.

In my neighborhood there are at least 6 sari sari stores within 50 meters of my door (row housing) so it takes the same time to walk to one as to the other.  Yet the one who charges more gets as much traffic as the ones who are all 5% lower.

[Castaway]

My only experience with the foreigner tax is with photocopies (a.k.a. Xerox in the Phils.)  Before buying a multipurpose printer (which I now use to make photocopies), the locals would charge me 5 pesos per page. My Filipino family told me that the correct price should be 2 pesos per page.

Edited September 13, 2017 by Castaway

[Snowy79]

My partner was telling me that the locals in Boracay are getting fed up with some tricycle drivers as they'll no longer pick up locals. There's a laid down rate for a tricycle ride varying from 10 peso to 30 peso but they charge foreigners from 150 to 200 peso. Due to this more and more are only giving foreigners a ride. The similar thing happens here in Puerto Galera. There's a notice board with the laid down rates for a tricycle ride, you'll never get it a that rate if you're foreign even though it's the law, yes you can report them but it goes in the file marked bin. The same with bars and restaurants, most around where I am the locals can't afford to eat in now.

I get the bit where most foreigners are better of than the locals but it has a negative affect on the local rates also which causes friction for us. You even see it at airports. There can be a queue 100m long and as soon as a foreigner steps out of the taxi two or three porters are onto them like a shot. One minute later they're at the front of the queue, past security and one porter gets their ticket while the other loads their luggage on the belt. You can see and hear the locals getting pissed off. Taxis are another example, they stop for foreigners and drive past locals, the minute you ask for the meter to go on they tell you it's their lunch break and you'll have to get out then they're off for the next foreigner who doesn't know they must use the meter.

 

Edited September 13, 2017 by Snowy79
Edited as some of the reply concerned a deleted post.

[RBM]

Like Dave I find it annoying especially if a local in front of me pays say P5 and I am requested to pay P7. It's not a matter of curiput but principle. There are a lot of wealthy Filipinos whom make many foreigners seem like paupers. Yet they are charged as locals. Fortunately I have experienced little of this.

I have never experienced taxi drivers in Cebu by passing locals for myself, most Filipinos whom use taxies will tip just as much as foreigners,  same applies in good restaurants. That's my observations.

Would like to hear from mogul 51 as understand in Thailand it's common practice to charge more for non Thais.

[JDDavao II]

1 hour ago, Snowy79 said:

My partner was telling me that the locals in Boracay are getting fed up with some tricycle drivers as they'll no longer pick up locals. There's a laid down rate for a tricycle ride varying from 10 peso to 30 peso but they charge foreigners from 150 to 200 peso.

 

2

My wife gets angry at the tricycle drivers here who pull over for us and ask, "How much?" She says, "How much?! How much it's supposed to cost!" Then they wave her off and drive away, empty, making no money. Financial geniuses.

[Mike J]

3 hours ago, Dave Hounddriver said:

She adds 5 pesos to a cell phone load when the others add only 2.  In each of these cases the "white nose" has added 5% profit to his mark-up.

His "revenue" increased by the 5% or so, his "profit" has increased by 150% (2 peso profit versus 5 peso profit).  I am surprised a math wiz like yourself let that one get passed you.