diff --git a/lib/Kolab/CardDAV/ContactsBackend.php b/lib/Kolab/CardDAV/ContactsBackend.php
--- a/lib/Kolab/CardDAV/ContactsBackend.php
+++ b/lib/Kolab/CardDAV/ContactsBackend.php
@@ -982,10 +982,12 @@
                     break;
 
                 case 'PHOTO':
-                    $param = $prop->offsetGet('encoding') ?: $prop->parameters[0];
-                    if (($pvalue = $param->getValue()) && (strtolower($pvalue) == 'b' || strtolower($pvalue) == 'base64') || strtolower($param->name) == 'base64') {
+                    if ($prop instanceof VObject\Property\Binary && $value) {
                         $contact['photo'] = $value;
                     }
+                    else if ($prop instanceof VObject\Property\Uri && preg_match('|^data:image/[a-z]+;base64,|i', $value, $m)) {
+                        $contact['photo'] = base64_decode(substr($value, strlen($m[0])));
+                    }
                     break;
 
                 // VCard 4.0 properties
diff --git a/test/Unit/CardDAV/ContactsBackend.php b/test/Unit/CardDAV/ContactsBackend.php
--- a/test/Unit/CardDAV/ContactsBackend.php
+++ b/test/Unit/CardDAV/ContactsBackend.php
@@ -25,4 +25,31 @@
 
         $this->assertRegexp('/PHOTO;ENCODING=b;TYPE=GIF:R0l/', $vcard);
     }
+
+    /**
+     * Test vCard PHOTO (T2043)
+     *
+     * @dataProvider data_T2043
+     */
+    function test_T2043($input, $output, $version)
+    {
+        $backend = new ContactsBackend;
+        $vcard   = "BEGIN:VCARD\nVERSION:$version\nN:Thompson;Default;;;\nUID:1\n$input\nEND:VCARD";
+        $contact = $backend->parse_vcard($vcard);
+
+        $this->assertSame($output, $contact['photo']);
+    }
+
+    function data_T2043()
+    {
+        return array(
+            array('PHOTO;JPEG;ENCODING=BASE64:' . base64_encode('abc'), 'abc', '2.1'),
+            array('PHOTO;TYPE=JPEG;ENCODING=b:' . base64_encode('abc'), 'abc', '3.0'),
+            array('PHOTO:data:image/jpeg;base64,'. base64_encode('abc'), 'abc', '4.0'),
+            // As we do not support photo URLs yet we expect NULL here
+            //array('PHOTO;JPEG:http://example.com/photo.jpg', null, '2.1'), // invalid?
+            array('PHOTO;TYPE=JPEG;VALUE=URI:http://example.com/photo.jpg', null, '3.0'),
+            array('PHOTO;MEDIATYPE=image/jpeg:http://example.com/photo.jpg', null, '4.0'),
+        );
+    }
 }