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Podcast text script - Basics of Indoor Tanning Services Excise Tax

HI … I’M ANABEL… AND I WORK FOR THE INTERNAL REVENUE SERVICE.
 
IF YOUR BUSINESS OFFERS INDOOR ULTRAVIOLET TANNING SERVICES ... WE HAVE IMPORTANT TAX INFORMATION FOR YOU.
  
THE LAW REQUIRES A TEN PERCENT EXCISE TAX ON THE AMOUNT CUSTOMERS PAY FOR INDOOR TANNING SERVICES.
  
IF YOU DO NOT COLLECT THE TEN PERCENT TAX FROM YOUR CUSTOMERS… YOU ARE STILL RESPONSIBLE FOR PAYING THE TAX.
  
THE TAX APPLIES TO ALL FEES PAID FOR INDOOR TANNING SERVICES INCLUDING MEMBERSHIP AND OTHER CONTRACT FEES.
  
AND IF THE TANNING SERVICES ARE BUNDLED WITH OTHER PRODUCTS OR SERVICES… THEN THE AMOUNT REASONABLY ATTRIBUTABLE TO TANNING SERVICES IS SUBJECT TO THE TAX.
  
TO REPORT THE TAX… FILE FORM 720… FEDERAL QUARTERLY EXCISE TAX RETURN… WHICH IS DUE EACH QUARTER BY…APRIL 30TH…JULY 31ST… OCTOBER 31ST… AND JANUARY 31 ST.     
  
THE TAX IS REPORTED ON PART TWO OF THE FORM 720… I-R-S NUMBER 140.
  
YOU MUST PAY THE TAX IN FULL WITH THE RETURN EACH QUARTER.
  
TO FIND OUT MORE… INCLUDING EXCEPTIONS TO THE TAX… VISIT THE INDOOR TANNING TAX CENTER ON I-R-S-DOT-GOV BY TYPING “TANNING TAX” INTO THE SEARCH BOX.

Page Last Reviewed or Updated: 29-Aug-2016