What happens when the price of something goes up? The sales go down. What happens sales go down? Companies don’t profit and people get laid off. Eventually businesses go under, unless you have buddies in the White House to bail you out. So we can all agree that when a tax is added, to a product, the sales decrease. Remember that.
Just as a reminder, one of the first things Obama did as president was raise the cigarette tax from 39 cents to $1.01 per pack of cigarettes and from 19.5 cents to 50 cents per pound for chewing tobacco. Now do you think that is going to help or hurt the company during such horrible economic times?
More recently, one of the first things Obama’s socialist healthcare bill does is put a 10% tax on tanning salons. Now will that double digit tax help or hurt the tanning industry? We all know it will hurt tanning salons profits, people will stop tanning, and salons will have to fire employees. Eventually tanning salons around the US will go OUT of business. But the democrat-activist won’t report on that because it will make Obama look bad.
From The Foundry:
In the days and weeks following the signing of Obamacare into law, Administration officials have attempted to promote all of the legislation’s immediate impacts. Owners of tanning salons across the country are already seeing one of those immediate impacts—a whopping 10% tax.
One salon owner in Western Oregon laments in an interview with a local TV station, “10% of everything you make to the federal government. That is tough on top of all of the taxes we are paying today.” Another salon employee at a Michigan-based business echoed those concerns in a separate interview complaining, “It’s not fair. This is a choice and now the government is telling you because you make this choice we are going to give you a 10% tax on this. Where’s it going to stop?”