Will the new tax stop you from tanning?
The price of your golden glow is hiking up 10 percent today when the indoor tanning taxby the U.S. health-care reform bill takes effect.
The tax is expected to raise $2.7 billion within the next 10 years, according to the Joint Committee on Taxation. The money will go to help pay the estimated $940 billion overhaul of health care.
According to Joseph Levy, vice president of International Smart Tan Network, small-business owners will be hurt by the tax.
Levy, who spoke with Businessweek, goes on to say, “It’s an expensive change at a time when small businesses don’t have the money. The average monthly cost of an unlimited tanning package is likely to rise to $55 from $50.”
Fitness centers that offer tanning beds as services included in the fitness fee are exempt from the tax. Spray-on services and self-tanning lotions are exempt as well. Also, dermatologists who use ultraviolet rays similar to those customers are exposed to in tanning beds in order to treat skin conditions are also exempt from the tax.
Tanning bed use may cause certain skin cancers such as melanoma.
“Data from the Centers for Disease Control show that for every 10 percent price increase, cigarette consumption drops by 3 percent to 4 percent among adults and 6 percent to 8 percent among young people,” Perry Robins, a physician and president the Skin Cancer Foundation, based in New York, told Businessweek. “We hope this tax will have the same effect on tanning-bed use.”
One person really upset by the new tax? MTV's 'Jersey Shore' star, Snooki.
More information about the tanning tax:
»Businessweek: Tanning Salon Patrons Face 10% Tax Today to Get Glowing Skin
»The Philadephia Inquirer: Tanning-bed enthusiasts say tax won't deter them
»Rapid City Journal: New tax takes a bite out of tanning salons, businesses
»MLive.com: People using tanning salons will have to pay 10 percent tax starting today
Will the new tax stop you from tanning? Leave your comments below.