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SALT LAKE CITY (AP) -- The Utah Supreme Court has upheld a state tax on strip clubs but ruled that it shouldn't apply to escort services.
In 2004 the Legislature enacted a 10 percent tax on businesses whose employees perform services while nude and escort services in an effort to pay for sex offender treatment.
A group of escort agencies and strip clubs challenged the constitutionality of the law, saying it was overbroad and violated their First Amendment rights.
The Utah Supreme Court ruled on Friday that the tax is not a violation of First Amendment rights but that it is unreasonably vague when it comes to escort services.
The court said under the law, tour guides could be considered escorts.
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