H.R. 1940: Tanning Tax Repeal Act of 2025 (119th Congress) Bill Summary

The Tanning Tax Repeal Act of 2025 aims to remove the excise tax that is currently applied to indoor tanning services. This legislation proposes two primary actions:

1. Repeal of the Excise Tax

The bill seeks to amend the Internal Revenue Code of 1986 by eliminating Chapter 49, which contains the regulations pertaining to the excise tax on indoor tanning services. This means that businesses providing indoor tanning will no longer be required to collect this tax from customers or pay it to the government.

2. Effective Date

The repeal of the tax will take effect for services provided after the bill is enacted. In other words, once the legislation is passed, indoor tanning services will not incur this tax moving forward.

Implications

By repealing this tax, the bill may affect pricing structures for indoor tanning services as providers might choose to lower prices without the tax burden. It could also have broader economic implications for businesses in the tanning industry and their pricing strategies.

Relevant Companies

SLCA - U.S. Silica Holdings, Inc. operates in the industrial minerals sector and could be indirectly affected if the demand for indoor tanning increases due to reduced costs for consumers.
TAN - Invesco Solar ETF, while not directly related to tanning services, this ETF could see movements based on consumer spending in lifestyle sectors, including tanning, which may be impacted by the tax repeal.

This is an AI-generated summary of the bill text. There may be mistakes.