IRS 10% excise tax on indoor tanning industry.
If you live in, or visit America, and love that fake, baked-on tan, it’s going to cost you 10% more to get that well-done feeling, as of July 1st.
The IRS issued regulations outlining the administration of a 10% excise tax on indoor tanning services that goes into effect on July 1st, 2010.
The regulations were published today in the Federal Register.
In general, providers of indoor tanning services will collect the tax at the time the purchaser pays for the tanning services. The provider then pays over these amounts to the government, quarterly, along with IRS Form 720, Quarterly Federal Excise Tax Return.
The tax does not apply to phototherapy services performed by a licensed medical professional on his or her premises. The regulations also provide an exception for certain physical fitness facilities that offer tanning as an incidental service to members without a separately identifiable fee.
Hmmmm. Taxing the tanning industry?!? I guess that may push people out into the sunlight more often, which may not be such a bad idea considering all the debate about how dangerous tanning beds are and their suspected link to cancer. Then again, if the IRS could tax natural sunlight, trust me, you would be paying it too.