Tanning Tax? What's next?

The US Congress has added a provision to the Health Care Reform bill to add a 10% sales tax to all indoor tanning services. Currently, services are not subject to sales tax in most states, including Colorado. This includes auto repair labor, hair, nails, massage, delivery services, lawn care and much, much more!

So what's the big deal, right? If people can afford to go to a tanning salon, they can pay a little more right? Or maybe you think - I don't go to a tanning salon, so it doesn't affect me. Well, not really...

First off, The Massage Store does not offer tanning services, so this is not from a personal benefit standpoint. Tanning salons, hair salons, massage therapists are all being hit by this tough economy. Many are laying off staff, cutting prices and doing whatever they can to survive.

If this tax is imposed, some customers will continue to come in. But many will not. And for each customer that does not come back, it forces the business owner to look at ways to cut back on overhead, including laying off more staff. There are approximately 20,000 tanning salons in the US and another 20,000 other salons/spas that offer tanning. We could be looking at thousands of future layoffs and failed businesses, only adding to the economic troubles we are currently experiencing as a country.

And what's to keep Congress from going after other service businesses. This tanning tax could be just the start!

Back around 1990, Congress enacted a 10% luxury tax on planes and yachts, thinking that the people who can afford to buy such expensive purchases can afford to pay an extra 10%. Instead, sales of these items dropped drastically, causing thousands of layoffs all the way from the manufacturers, part suppliers and the dealers. Some states like Maine, where boat sales are a huge part of the economy, really took a hit. In 1992, President Bush and Congress repealed the luxury tax, and sales took off once again!

A quick search of "tan tax" on Google or any other search engine will yield a ton of stories and information about it.

The Indoor Tanning Association has setup a website that allows you to e-mail your Congressional representatives for free! It can be found at www.StopTheTanTax.com. I urge you to e-mail your Representative and Senators and urge them that higher taxes are not the answer to creating jobs and prosperity in this economy!