The Centre, P.C. - Plastic Surgery Blog

Cosmetic Surgery Tax Considered to Fund Health Care Reform - Monday, August 31, 2009

"Luxury taxes" are commonly thought of as ways to fund public programs. Cigarette taxes, gasoline taxes, and alcohol taxes are have been around for a while, and now Congress is considering a 10% excise tax on cosmetic surgery, defined as procedures deemed not medically necessary. The tax would be levied on cosmetic surgeons, but most likely surgeons would be forced to pass it on to consumers.

Some estimates on the cost of health care reform go as high as $1 trillion. The proposed tax would most likely cover procedures currently defined as cosmetic surgery in IRS Publication 502 as "any procedure that is directed at improving the patient's appearance and does not meaningfully promote the proper function of the body or prevent or treat illness or disease. You generally cannot include in medical expenses the amount you pay for procedures such as face lifts, hair transplants, hair removal (electrolysis) and liposuction."

If we consider the figures published by the American Society of Plastic Surgeons, Americans spend about $11 billion a year on plastic surgery and noninvasive cosmetic procedures each year. That means that, if passed, the cosmetic surgery tax would contribute approximately $1 billion, about a tenth of a percent of the total cost of health care reform.

However, this tax could represent a significant burden for people seeking cosmetic surgery. If you have had cosmetic surgery in the past and/or are considering it in the future, contact your Senators and Representatives to let them know how you feel about this proposal. Evan Bayh represents northern Indiana in the Senate and Joe Donnelly is Indiana’s Representative for 2nd district.

If you are interested in cosmetic surgery, this may be a good reason to have your procedure performed sooner rather than later. Contact The Centre, P.C., with locations in Elkhart, South Bend, and Chesterton, IN today to learn more about your options.