NY Court Says Strip Club’s Lap Dances Are Taxable
- Posted on June 11, 2011 at 12:14pm by
Scott Baker
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Dancers relax before they entertain the lunch crowd at Nite Moves on May 7, 2003, in Latham. (Cindy Schultz / Times Union Archive)
ALBANY, N.Y. (AP) — A New York court says getting a lap dance isn’t the same as taking in a ballet, so an alcohol-free strip club will have to pay the tax man.
Four Appellate Division justices agree with a decision by a state tax appeals commission that says dances onstage or in private rooms at a suburban Albany juice bar don’t qualify for a tax exemption as “dramatic or musical arts performances.”
The court says that among other reasons, the dancers aren’t even required to have any formal dance training.
The case involves 677 New Loudon Corp., doing business as Nite Moves, and a tax bill of nearly $125,000 plus interest the state says it owes on lap dances and admission fees.
The club’s attorney, W. Andrew McCullough, said Friday he’ll probably appeal.
Associate Justice John C. Egan Jr. wrote a nine-page ruling that cited numerous elements of tax case law and went into exhaustive detail defining aspects such as dramatic or musical arts, choreography and whether Nite Moves qualified as a “place of amusement.”
“Hence, the issue distills to whether the club‘s admission and private dance fees constitute charges for admission to a ’live dramatic, choreographic or musical performance,’” he wrote.
The club sought expert testimony from a cultural anthropologist who researched the field of exotic dance, visited the club and reviewed the dances depicted on the Nite Moves DVD. She offered an opinion that “the presentations at Nite Moves are unequivocally live dramatic choreographic performances.”
The unnamed expert further concluded that the private dances performed at the club, such as lap dances, involved “similar kinds of movements” as those portrayed by the dancers on stage and therefore also “qualified as choreographed performances.”
The five-member court disagreed. The record from the Tax Tribunal hearing showed the club’s dancers were not required to have formal training and relied on videos or suggestions from other dancers “to learn their craft.”
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Comments (94)
Akbarjonnie Shaheed
Posted on June 11, 2011 at 2:49pmWeiner out on tax evasion now for sure!!!
Report Post »LibertyorD34th
Posted on June 11, 2011 at 2:49pmI don‘t think ANY tips or gratuities should be taxed and I’m not quite sure if most of them are even reported. That being said, the government is full of whores so it‘s only natural for them to want their cut from someone’s nudity.
Report Post »don young
Posted on June 11, 2011 at 2:30pmWho is going to claim they had a lap dance.
Report Post »liberalsarealiens
Posted on June 11, 2011 at 2:22pmLiberals never cease to intertain!
Report Post »Salamander
Posted on June 11, 2011 at 2:14pmAnybody want to comment on the Henrico “License FEE tax?” Why don’t they just collect it all at once and call it the License Feefee? Doggonnit!
Report Post »Salamander
Posted on June 11, 2011 at 2:10pmWhat’s this about equal treatment under the law! Either lap dances get the same treatment as the ballet, or the ballet gets the same treatment as the lap dance! Better! Let’s let all the RICH PEOPLE attend their SYMPHONY without payting tax, while making all the POOR people pay tax on their RAP CONCERT! (By the way, did you EVER COMPARE the ticket price of a rap concert to a symphony ticket–makes you wonder who has all the money out there!)
Report Post »powhatan
Posted on June 11, 2011 at 2:06pmQuick…someone call the lap dance tax police…get the swat team in here…..
Report Post »Salamander
Posted on June 11, 2011 at 2:15pmWow, I’d love to be a tax auditor in THAT establishment!
Report Post »teddrunk
Posted on June 11, 2011 at 1:57pmWelcome. Keep your clothes on, pick up after yourself, be kind to your neighbor and we’ll get along just fine.
Report Post »Bruce_Almty
Posted on June 11, 2011 at 1:55pmIf a lap dance is taxable for one party; it can also be written off as a business expense by the other party. Oh, this is great.
Report Post »Mateytwo Barreett
Posted on June 11, 2011 at 2:06pmEvery damn lounge lizard will be getting an “earned income ” tax credit!!! Gee, I won der what they’ll do with it?
Report Post »TH30PH1LUS
Posted on June 11, 2011 at 1:36pmIn an unrelated story, Bambi, Candy-Pants, and Boom-Boom have all joined the Tea Party.
Report Post »CaptainSpaulding
Posted on June 11, 2011 at 1:24pm…are they going to start taxing Weiner’s sexting?
Report Post »Randyrocker
Posted on June 11, 2011 at 1:00pmSoon they will have a time tax. You will have to pay the government for your time here on earth, and if you don’t your time is up. No court, no trial, only time denial death. Plus they will invoke a pre death tax extra, that if you can’t pay the time tax, your death tax will have been paid in advance. Anything you own in your time on earth will also be taxed, and should your wife give you an at home lap dance, there will be an extra punitive tax layered on top of all of your other taxes that pertain to your attempted pro creation taxes. Finally the White House will impose a worship Obama tax, that must be paid to support the text provided on every pair of TelePrompTers that the Messiah uses.
Report Post »Salamander
Posted on June 11, 2011 at 2:20pmIt’s a POON-ative tax!
Report Post »freedomcatcher
Posted on June 11, 2011 at 12:59pmWould someone please wake me up ? Im having a nightmare !
Report Post »CalvinandHobbes
Posted on June 21, 2011 at 3:31pmWatch out…they will tax that too…..
Report Post »teddrunk
Posted on June 11, 2011 at 12:59pmEnough about NY. With any luck NY along with its Weiner lovers will be destroyed in a comet shower.
Report Post »beatsbias
Posted on June 11, 2011 at 2:03pmWith that logic, why don’t you join al qaeda? They’re more interested in bombing the important big cities, than some Texas sh****le where you probably live.
Report Post »ICANHANDLETHETRUTH
Posted on June 11, 2011 at 12:54pmMaybe they should put a tax on weiner’s weiner ???? LMAO You clowns sure love to tax the sh– out of people !!! You just love to take,take,take. It won’t be long and your state will be a ghost town !
Report Post »RightPolitically
Posted on June 11, 2011 at 12:47pmOn one of the previous comments about this story a guy asks, “Where does all the NY State tax money go?” Answer: DOWN A SOCIALIST SEWER!
Report Post »RightPolitically
Posted on June 11, 2011 at 12:51pm……A SOCIALIST SEWER of crime, corruption, laziness, victimhood, immorality, entitlements, needy illegals, needy phonies who work “the system” day and night and then complain about the greed of those who foot the bill. NEW YORK STATE IS OVER…..and it can’t happen soon enough!
Report Post »ICANHANDLETHETRUTH
Posted on June 11, 2011 at 12:55pmThat is a good one !!!! and how true it is !!
Report Post »drattastic
Posted on June 11, 2011 at 12:59pmYup!
Report Post »RightPolitically
Posted on June 11, 2011 at 12:43pmCall it a “fun tax.” But then, there ain’t NO FUN in having to pay taxes, now is there!
Report Post »912828Buckeye
Posted on June 11, 2011 at 12:35pmThe goverment wanted their cut and they got it. Period.
Report Post »UpstateNYConservative
Posted on June 11, 2011 at 12:40pmAnd their cut always comes first.
I swear (a lot) that if people had to write a check every year to government for taxes, there would be an armed insurrection in about ten minutes.
Report Post »Rob_M
Posted on June 11, 2011 at 12:34pmDoes NY wonder why everyone is moving out? To avoid the freakin taxes.
Report Post »drattastic
Posted on June 11, 2011 at 12:50pmUnfortunately when the rats flee the sinking ship it spreads the liberal trash everywhere else. We somehow need to stop the progressive virus from infecting the rest of the country. They flee New York and places like it to escape what they themselves caused and when they settle elsewhere they immediately begin trying to change it into what they left. Kinda like some immigrants ,we all know what flavors
Report Post »Mateytwo Barreett
Posted on June 11, 2011 at 2:15pmAll the lounge lizzards will be getting ‘Earned income” checks- where doya think that money will go?
Report Post »teddrunk
Posted on June 11, 2011 at 12:30pmThese are NYers, you know Weiners sick bunch. Of course they’ll promote and tax it. Heck they probably have Weiner crusin’ the net looking for little girls to enlist.
Report Post »UpstateNYConservative
Posted on June 11, 2011 at 12:37pmYou have no idea how insane it is here. Albany hits me with $4.35 tax on a pack of cigarettes (half the total price) plus sales tax at 8.2%.
And STILL New York runs a deficit.
Then the lottery, which I see people playing every day in every way, even when they buy pop and junk food with welfare cards.
I have no F-ing idea where all that money is going. To be honest, Ted, I never thought there was that much money in the world.
Report Post »teddrunk
Posted on June 11, 2011 at 1:11pmSomeone is grabbing it. Maybe too many give-aways. Most people don’t work anymore, they live off the working.
Report Post »eat-more-bacon-USA
Posted on June 11, 2011 at 12:29pmLittle Tony Weiner is going to be crushed – strip clubs will have to pass this new tax on to customers.
Report Post »drattastic
Posted on June 11, 2011 at 12:39pmSptizer won’t take this laying down ,he’s usually seated.
Report Post »Mateytwo Barreett
Posted on June 11, 2011 at 2:01pmI heard Wieners going to stick it out- ’til election!
Report Post »Salamander
Posted on June 11, 2011 at 2:12pmLittle Weiner cannot use a lap dance! The little lizard won’t reach to where the fun starts! He had the tip cut off BEFORE he knew how big it was going to be! Talk about being an OPTIMIST!
Report Post »UpstateNYConservative
Posted on June 11, 2011 at 12:23pmWhat? WHAT?????
Of, for F’s sake! I don’t do bars, let alone sex clubs. But for crying out loud! Leave the People alone! Get out of our wallets, will ya!
Jiminy F-ing Cricket!
Report Post »Mateytwo Barreett
Posted on June 11, 2011 at 1:59pmIrritated, are we?
Report Post »UpstateNYConservative
Posted on June 11, 2011 at 2:11pm@Mateytwo Barreett
Posted on June 11, 2011 at 1:59pm
Irritated, are we?
___________
*LOL* Sure I am, when it comes to government.
I don’t do bars and especially not strip clubs, but for cryin’ out loud! Government needs to leave people alone and stay out of their wallets. I bet most of those girls don’t want to be doing what they do, so all the more reason for Albany to shut up and quit trying to steal cash all the time.
I rather see a girl keep her dollar tip than let Albany get hold of it, and ‘return’ to the People a paltry 40 cents on that dollar.
The girl made an honest dollar (my personal morality not a factor here). It’s hers, in full.
End of story, in my book.
Report Post »CalvinandHobbes
Posted on June 21, 2011 at 3:29pmeasy on the caffiene…you’ll blow an O-ring!
Report Post »BurntHills
Posted on June 11, 2011 at 12:21pmthey are taxing that?! that is soooo funny! hey, it IS a gal’s JOB.. and so it IS revenue, tho, isn’t it!
Report Post »burned at edges
Posted on June 11, 2011 at 1:54pmThe idea is not no taxes it is fair taxes. The question should be, why are performance artists that go through dance schools exempt? Why are the venues that put on their shows exempt? If they were not exempt then this club would have no reason to try to claim exemption. Some say legalize prostitution and tax it, how is this different? These girls can pull in $500 per night or more, should they pay less tax than me? Are major league sports taxed?…well yes, but then they are subsidized too…so are they really taxed?
Report Post »All the loop holes need to be closed so taxes are fair.
Bruce_Almty
Posted on June 11, 2011 at 2:03pmPlenty of **** like lapdances from other *** guys.
Report Post »nomercy63
Posted on June 11, 2011 at 12:21pmIt is good to see that New York has decided to get into the pimping business!!!!! Unreal they just can’t stop themselves from taxing everything! What consenting adults decide to do is between them!
Report Post »Mateytwo Barreett
Posted on June 11, 2011 at 1:56pmActually, I would beleive it is a spinoff from the foray into the Mustang ranch in Nevada! OOps! that didn’t tuen out well!
Report Post »restorehope
Posted on June 11, 2011 at 2:36pmYes they do, but not in a public place. That is just voyeurism at its worst.
Report Post »dealer@678
Posted on June 11, 2011 at 10:00pmI wont go in that place anymore
Report Post »Obama Bin Lying
Posted on June 11, 2011 at 12:19pmYou have to love the Libs. NY says lap tops are ok, Bill Clinton Says oral sex is not cheating, and Wiener shows weiner to 400000 people, and they think this ok.
Liberalism is a mental disorder
Report Post »TruthTalker
Posted on June 11, 2011 at 12:26pmOK, a feces covered Jesus is art, but dancing is not..Got it.
Report Post »912828Buckeye
Posted on June 11, 2011 at 12:32pm“Liberalism is a mental disorder”
If it could only be cured. 8~(
Report Post »drattastic
Posted on June 11, 2011 at 12:37pmNow here is a tax that might actually anger liberals and one that won’t affect conservatives very much.
Report Post »Sinista MACE
Posted on June 11, 2011 at 12:48pmTaxable…how?
Because the City of New York owns the strippers…?
And therefor have a right to impose a tax, like land…
I don’t get it.
Taxes are illegal as hell.
Let’s stop using the word tax and just say what it really is.
The City of New York is TAKING people’s money, not taxing them.
Tax means “to take”.
They’re robbers.
Report Post »coladude
Posted on June 11, 2011 at 12:54pmThe libs are for everything obscene
http://bit.ly/gCoZuw – Political Videos
Report Post »Want our country back
Posted on June 11, 2011 at 1:03pmObama said: “I can make a firm pledge,” he said in Dover, N.H., on Sept. 12. “Under my plan, no family making less than $250,000 a year will see any form of tax increase. Not your income tax, not your payroll tax, not your capital gains taxes, not any of your taxes.”
Liar liar pants on fire.
He has lied to the entire country ( Liberals & Conservatives)
Wake up you Libs
Report Post »wildbill_b
Posted on June 11, 2011 at 1:18pmHey people, why doesn’t everyone just look at the Constitution and answer this for themselves. Where in the Constitution does it allow a direct un-apportioned tax on anyone but the federal government?
This applies to the states as well as the Federal government. The Federal government has no authority to tax ‘American Citizens’ directly. They do however have the right to tax “US citizens” directly in what appears to be a conflict with the Constitution. Learn the difference and learn the deception. http://www.lojack12.com/Constitution Peace.
Report Post »mwhaley
Posted on June 11, 2011 at 1:29pmNew York, All your smart tax payers are heading to Texas.
Report Post »Rational Man
Posted on June 11, 2011 at 1:43pmAnd people critisize and wonder WHY there is a ‘Tea Party’ movement!
Report Post »This is a good example!……Not that I support strip clubs or lap dancing………..
stinkybisquit
Posted on June 11, 2011 at 1:57pmCan’t wait to see how many congressmen use tis as a new tax deduction this year.
Report Post »restorehope
Posted on June 11, 2011 at 2:33pmThe libs there will probably find a way to give an exemption to all the lib perverts….just like what they are doing with Obamacare. (By the way, if I were narcissist Obama, I would have my name removed from that program. It is bound to go down in history as one of the worst ideas ever and most deserving of its upcoming repeal.)
Report Post »jzs
Posted on June 11, 2011 at 2:35pmYou guys are so confused. The tax is on the money the “dancer” or the club recieves for the performance, not the “client.” It’s really simple: tips to waitresses are taxed. And gratuity for a service is taxable as income. So is this. This is really a non-story that has zero interest, except if you can be mislead about the nature of the taxation and pretend is something other than it is. And you guys bought it. Job well done blaze.
This really a Republican party issue though, because it’s really the “family values” people that provide the bulk of the clientel for these businesses. Republican like to hold official event at strip joints: http://articles.nydailynews.com/2010-03-29/news/27060398_1_rnc-michael-steele-west-hollywood.
And Gingrich gives award to strip joints: http://www.politicsdaily.com/2009/10/01/newts-group-pulls-award-from-adult-club-owner/
Report Post »restorehope
Posted on June 11, 2011 at 2:45pm@ JZS
Report Post »You are the one who is confused. Yes, the dancer gets taxed, but their salaries will be augmented by raising the prices of the dances. The customer pays for the tax indirectly but most certainly.
American Soldier (Separated)
Posted on June 11, 2011 at 2:46pmI have to ask, do other life performances not get taxed? It sounds like from the article that other live dancing performances don’t get taxed. If that is true, they shouldn‘t discriminate just because they may think it’s raunchy. Tax codes should not be used to social engineer.
Report Post »MiketheTrucker
Posted on June 11, 2011 at 2:59pmWill this be a progressive/graduated tax schedule?
I assume some will be levied a “flat” tax.
Report Post »mikem1969
Posted on June 11, 2011 at 3:05pmnext they will be taxing couples that have sex or taxing you when you have to go to the bathroom or breath.
Report Post »jeffyfreezone
Posted on June 11, 2011 at 3:47pmYou can‘t discuss NY anymore without strippers and Weiner’s. I can’t believe ANYONE would want to work there, much less live there!
Report Post »jzs
Posted on June 11, 2011 at 4:06pmrestorehope, no, I’m not confused. Even according to you. Sounds to me that tips to waiters, pizza delivery people, or anyone else shouldn’t be taxable income. Sounds like you think that we shouldn’t consider tips waiters income because our food prices would go up?
If you follow the link, you’ll find this joint was skipping out on all sorts of taxes. Defend those violations too if you want.
Report Post »Rice Water
Posted on June 11, 2011 at 4:09pmAs with all tax structures, the relationship between the tax on the service and the cost of the service is never linear. For example, a 4% tax on a $20 lap dance will most likely not result in the price of said lap dance increasing to $20.80. Sure, the dancer COULD raise her prices, but more likely she will find a way to increase her output, and/or make her service more desirable to clients (and thus get bigger tips) without raising her prices. Free markets & happy endings, baby.
And this is actually an opportunity for any capitalists in New York: Open up a “dance school” for strippers. This way, they’ll be considered artists, and be exempt from the tax law.
Report Post »Dustyluv
Posted on June 11, 2011 at 4:11pmThose sstrippers make a lot of money and the libs believe in taxing the rich, so this was inevitable…
Report Post »jhaydeng
Posted on June 11, 2011 at 4:38pmWhat a joke!
Report Post »Eblaze44
Posted on June 11, 2011 at 7:33pmThey are just taxing the take at the door – just like they do the take at the theater door or the entrance to a sports stadium. Now, since that’s perfectly legal, they just need to start taxing whores, make it legal. NYC needs the money desperately since legitimate business is leaving town to avoid their high taxes.
Report Post »chazman
Posted on June 11, 2011 at 8:34pmA lap dance is taxable, huh? I say don’t pay it! Better watch it, you stupid politicians. American’s may stop paying taxes altogether.
Report Post »Rightsofman
Posted on June 12, 2011 at 4:55pmSo lewd and lascivious behavior is now taxable? How about Weiner’s flashing on the internet. They used to arrest flashers where I come from.
Report Post »ProbIemSoIver
Posted on June 12, 2011 at 10:05pmI don’t Understand why people make this a right or left issue. Bottom line is… the Dancer on the left could be a hardcore Nancy Pelosi Lib. The Dancer on the right could be A gun-toting Michele Malkin Conservative. But they are both going to get screwed by both political parties. Leave us all the hell alone, Gov’t. Eliminate the income tax and impliment a flat, value-added, federal sales tax. Then, no one could get away with not paying their fair share.
Report Post »Franny
Posted on June 22, 2011 at 1:05pmto truthtalker… depends on the dance a lap dance is not art ….. nor is a feces covered Jesus
Report Post »we have to open our eyes and see really really see
and to you Obama bin lying I couldn’t agree with you more!