Tag Archives: Third Court of Appeals

Court says 'yes' to pole tax

There is justice after all in at least one element of the Texas tax system.

The Third State Court of Appeals has ruled in favor of the state assessing a $5-per-patron tax on strip clubs.

You go, judges.

http://www.texastribune.org/2014/05/09/texas-strip-clubs-lose-pole-tax-appeal/

The court had heard an appeal on the tax’s constitutionality from strip club owners who don’t like charging their “gentleman” customers what’s been called a “pole tax” to enjoy the entertainment provided by, um, “exotic dancers.”

The court ruling said, in part: “We … render judgment that the sexually oriented business tax is not an occupation tax and thus there is no requirement that 25 percent of its revenue go to public schooling.”

The strip clubs had sued over some supposed obligation to dedicate a portion of the tax revenue for public education. The court said the tax need not be earmarked for schools.

I’m glad the court issued the ruling. The state needs the money, so why not assess a tax on those who would patronize these entertainment establishments?

The money does go toward assisting sexual assault victims and to health care for those who are victimized by these sexual predators … many of whom no doubt get some of their evil motivations by watching the “entertainment” provided at these clubs.

It’s unclear whether the strip clubs will appeal the ruling on the law enacted by the 2007 Texas Legislature. I’m hoping courts up the line will uphold the Third Court’s ruling.

The state can put the millions of dollars it stands to collect to good use.