MORE STATES SEE STRIP CLUBS AS A SOURCE OF REVENUE

IRS Tax ProblemsIRS News

A Texas Law imposes a $5.00 fee per customer on strip clubs that sell alcohol on the premises.

Some owners of strip clubs filed lawsuits, trying to have the law declared unconstitutional. The law was upheld by the Court of Appeals, but the Supreme Court refused to hear the appeal, therefore upholding the Texas Law.

Now the State of Illinois has followed suite and began to add a surcharge/tax on businesses that sell alcohol, where nude or partially nude entertainment is offered.

On the upside, the fees are used primarily to support sexual assault centers and the laws were passed because the state funding for these programs was falling.