Federal government proposes Christmas tree tax to promote sales

Uncle Sam or Uncle Ebenezer?

Federal tax on trees shock growers


Photographer: WFTS
Copyright 2011 Scripps Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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Photographer: Getty Images

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Posted: 11/09/2011

TAMPA - The U.S. Agriculture Department is set to impose a 15 cent Christmas tree assessment to study the promotion of Christmas tree sales, according to the Federal Register.

"The purpose of the new program would be to increase the demand of Christmas Trees in the United States," according to the order, issued November 8. In the past 15 years, annual Christmas tree sales have dropped from 37 million to 33 million across the country, the rule said. Artificial tree sales have increased at the same time.

The assessment would fund a research and promotion program to increase the demand for fresh Christmas trees. Retailers would be allowed to pass the cost on to consumers.

"I liked to fell over when I heard about it," said Dade City Christmas tree farmer Jewel Lay. "I couldn't believe why in the world the government would get involved in the Christmas tree industry."

Based on 2010 sales, the tax would raise nearly $5-million for promotions this year. "Wow," said Tampa parent Todd Marks. "I could have my children help them for free. They can tell you what's good about Christmas trees without a study."

"That is the most ridiculous thing I've ever heard of,"  said Kelly Jones, of Westchase has three children. "Why do we need to study Christmas trees?"

Copyright 2011 Scripps Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

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