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In this video tutorial, the presenter explains how to annotate images using an online tool called Good Annotations. Image annotations are useful for labeling and highlighting specific elements in images. To begin, the viewer is instructed to search for "Good Annotations" on Google and select the first link, avoiding ads. Once on the website, users should navigate to the "Tools" section and find the "Image Tools" category, where they can access the image annotation feature. The presenter provides a link in the video description for direct access to the annotation page. An example image from Westminster, London, is prepared for annotation in the tutorial.