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Old 03-26-2010, 02:07 PM   #1 (permalink)
 
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ITA Update

In This Update:
FDA Advisory Panel Meeting
Tan Tax Update
State Update – Three more Bills Die in Committee
FDA Advisory Panel Meeting
As you may have heard, an advisory panel to the Food and Drug Administration met yesterday and recommended that the agency consider additional regulations on indoor tanning. Some of the restrictions discussed included age restrictions, parental consent, training, education for users and skin typing.
Unfortunately, this panel was made up almost exclusively of dermatologists and while we hoped they would be fair, the deck was stacked against us from the start.
First, it is important to remember that this advisory panel’s actions are only recommendations and the FDA must base any policy changes on sound science and fact. Our next goal is to make sure the FDA does just that.
We have plans to meet with FDA in the coming weeks to garner a better understanding of what they may recommend. We plan to work with the FDA throughout this process to make certain they understand what is reasonable to require of this industry and the thousands of businesses that make it up.
Attached you will find a press release we issued last night, you can also access the “White Paper” we submitted to the panel in advance of yesterday’s meeting here. We will keep you up to date throughout this process.
Tan Tax Update
While the 10% tax on tanning services has been signed into law and we were unsuccessful in having it removed during the reconciliation process, we have not given up on having the tax repealed. Our allies in Congress have pledged to work with the industry to repeal the tax and we are actively trying to determine the best way to accomplish that goal.
Until we are successful, you should be aware that the tax will be effective on July 1, 2010. The tax is only on tanning services involving UV light. The tax is to be paid by the consumer and collected by the business. The IRS is required to issues regulations for collecting the tax which could delay its implementation. We will keep you up to date on any developments. In the meantime, continue to let your elected representatives know your concerns.
State Update – Three more Bills Die in Committee
We had two victories in the state Capitals last week. In Annapolis, the second of two proposed under 18 bans was defeated in committee by a large margin. The Senate companion bill suffered the same fate the week before. This ends the threat in Maryland for the year. In Connecticut, SB 263 also died in Committee after attempts to restrict teen access were rejected.
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Old 03-26-2010, 02:21 PM   #2 (permalink)
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Re: ITA Update

It should be as clear as booze to our entire industry community now that to support the ITA is a vital part of our life.

This means both financially and talking intelligently with your local politicians and keep sending letters like the ones below.

Go to www.stopthetantax.com and make it your own, stay with it, we have not given up yet.

This is a letter I wrote to both Senators, Feinstein and Boxer, yesterday.

Continue to write to your local Congresspeople and Senators, keep up the pressure - the last paragraph is what dictates fact, it will result in less overall income for the government.

******

Dear Senator Feinstein,

I have been in the tanning industry for 31 years, and I have been very active in promoting Responsible Tanning in Moderation for many years.

There has not – to the best of my knowledge - been one single skin cancer reported that directly and conclusively is related to sun tanning equipment.

Salon owners are mostly Mom & Pop salons, salons that are to a great extent holding on by the skin of their teeth even in good economic times.

For all of these hardworking people, mostly women, it will be near impossible to justify and add 10-12% to the price of a tan - this in addition to a service tax of 7-9% in many states. The consumer may likely not buy into it.

This means that for a business that may only yield 10-15%, or less annually in profit, this tax may prove to be a disaster, resulting in salon closures, layoffs and likely even less overall taxes to the government.

Senator Feinstein, I urge you to re-evaluate this TanTax - and quickly.
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Leif Vasström
Principal
Supra Brands Group LLC
a Radium Business Partner
Direct 415 725 6666
Toll Free 800 959 1255
lvasstrom@supratechnologies.com
www.supratechnologies.com
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