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Supporting the Arts in New York

March 31, 2009

Politicians love special tax exemptions for worthy causes. New York, for example, has a special sales tax exemption for "dramatic arts" performances. Unintended consequences follow, reports TaxGrrrl:

Administrative Law Judge Catherine M. Bennett has ruled that the eloquently named Nite Moves, a strip club in Albany, NY qualifies for the “dramatic arts” sales tax exemption under New York tax law.
Why? The choreography, of course. It takes a simple stripper and makes her an artist.

Judge Bennett wrote: “The fact that the dancers remove all or part of their costume during the performances, that the dance routines are seductive in nature and titillation of a patron is the outcome, simply does not render such dance routines as something less than choreographed performances, or remove them from the exception to the general rule of Tax Law §1105(f)(1).”

This is one art form that manages do all right without government subsidies.