White House Tables Christmas Tree Tax

Fox News reported Wednesday that the Obama administration has suspended plans to impose a 15-cent tax on Christmas trees in order to finance a new federal board tasked with promoting the industry.

In the report, White House spokesman Matt Lehrich was quoted as saying that the U.S. Department of Agriculture has postponed the move.

“I can tell you unequivocally that the Obama administration is not taxing Christmas trees. What’s being talked about here is an industry group deciding to impose fees on itself to fund a promotional campaign, similar to how the dairy producers have created the ‘Got Milk?’ campaign,” Lehrich said. “That said, USDA is going to delay implementation and revisit this action.”

The tax, which was revealed yesterday, would’ve hit producers and importers of Christmas trees in order to fund the new Christmas Tree Promotion Board. The Fox report noted that the tax was supported by some in the industry, and would’ve generated an estimated $4.5 million in revenue for the industry.

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