CARSON CITY, NV — Nevada’s state tax commission will make a decision on August 6th regarding hundreds of thousands of dollars in entertainment taxes collected from Las Vegas strip clubs during the past three years.Attorneys for six strip clubs, including Sapphire Gentlemen’s Club, The Spearmint Rhino, Crazy Horse Too, Olympic Garden, and Treasures, have been fighting the state’s 10-percent tax on admission to the clubs and the purchase of food and drinks within, saying that the dancing that strippers perform is a constitutionally protected free act of expression that should be exempt from taxation.
Nevada’s state Taxation Department has denied the clubs’ request for a refund on the taxes saying that exotic dancing fits the state’s definition of taxable entertainment, but attorneys for the clubs say that the tax is invalid because it discriminates between different types of entertainment. While Nevada’s state government thinks it’s cool to tax those viewing Candy removing her thong for five dollar bills, the state does not tax other forms of live, non-gambling entertainment in places that seat fewer than 200 people. It also exempts some sporting events, like boxing and NASCAR. The clubs’ lawyers believe this to be unfair and biased in order to promote “family-friendly” activities.
State Deputy Attorney General David Pope, speaking with the Las Vegas Sun, disagrees with the concept that the clubs are being unfairly taxed and punished for being what they are. According to Pope, the tax isn’t about “a suppression of ideas” and besides, the money couldn’t be returned to club patrons, anyway — as if that were a reason to not give anyone money back.
