IRS makes ObamaCare tanning tax permanent

The Internal Revenue Service is making permanent the 10 percent tax on tanning from ObamaCare.

ADVERTISEMENT
Indoor tanning services have been subject to the excise tax since July of 2010. It was designed to help offset the sweeping healthcare bill’s cost by raising an estimated $2.7 billion in revenue.

The tax had been considered temporary while the IRS collected feedback from the public and interested parties about how it should be applied. As of Tuesday, the tax will be considered permanent.

“After considering the written comments and comments made at the public hearing, the proposed regulations are adopted as final regulations by this Treasury decision and the corresponding temporary regulations are removed,” a notice to be filed in the Federal Register reads.


More from The Hill:
♦ 17,000 sign petition urging Obama to pardon NSA leaker
♦ Dems, GOP waiting for Hillary Clinton 
♦ Decision on gay marriage highlights Supreme Court term
♦ GOP demands 'decisive action' from new IRS chief — and soon
♦ Crossroads launches $100K push for immigration reform



Following passage of the Affordable Care Act, a group of nearly two dozen GOP House members pressed legislation to scrap the tanning tax.

“This unfair punishment of small businesses must be repealed,” Rep. Michael Grimm (R-N.Y.) said at the time.

In 2011, the Indoor Tanning Association estimated the tax could hit as many as 18,000 tanning businesses across the country. The group said more than 3,000 businesses had already been shuttered, leading to 24,000 job losses.

The effort to repeal the tax failed.