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Removing Tennessee's gym tax could be heavy lifting

Local gym owners say a 10 percent tax on their services is unfair since it doesn't apply to bigger fitness facilities.

KNOXVILLE, Tenn. — It's a cost crunch that could impact your belly bulge.

Currently, a nearly 10 percent tax is levied on services like classes, memberships and personal training sessions at smaller fitness facilities across the state. 

It's a tax that local gym owner Leah Braden says is unfair and unhealthy. 

"They should incentivize people for trying to be more fit and not tax them," she said. "It's absolutely unfair."

Larger facilities, over 16,000 square feet, don't face the same tax. 

Instead, it's borne by boutique gyms, CrossFit facilities and spin studios that have become more and more popular in recent years. 

"They're taxing Tennesseans and small business owners and fitness facilities for trying to get fit," Braden said. 

Some lawmakers agree and have taken steps to remove the tax entirely. 

"Not only is taxing some people and not others unfair, we're taxing the little guy and not taxing the big guy," State Senator Richard Briggs (R-Knox County) told 10News. 

But his bill, HB5, could be heavy lifting.

RELATED: Annie's bill blog: What we're watching in the state legislature in 2019

"Like most bills it will have a fiscal note because there will be less revenue coming in for the state," Briggs said. 

Losing the tax means less money for the state.

But at her Orange Theory gym in Bearden, Braden says not to sweat it. 

Just like working out, the long term gain outweigh the short term burn. She says a healthier population will cost more in the long run.  

"Tennessee is number four in the nation for obesity, number one for childhood obesity and number five for diabetes. And all that really does is skyrocket health care costs and that's coming out of taxpayer's wallets," she said. 

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