Not many people know what “the Pink Tax” is. The “Pink Tax” is an unofficial name for gender discrimination by taxing products that are marketed to women. The “Pink Tax” is not a real tax but many products that are marketed to women are more expensive. The Pink Tax is an umbrella term for the price raises that they put on products marketed to women. This includes feminine hygiene products but there is a separate tax for that called the tampon tax. The tax is not about makeup or feminine hygiene products, the tax refers to items that are for both genders that are more expensive for females.
According to research this also applies to clothing brands and companies. Statistics show that, in addition to affecting women’s products, Pink Tax negatively affects a child’s life. Young girls’ toys and clothes cost 4% to 7% more compared to young boys (NYCDA). 4% may seem small when buying one item, but it can equal around $1300 yearly (Lankford). An example is socks. Socks are for both genders but you will find that the women’s or girl’s socks are more expensive than the men’s or boy’s socks. The reasons that the companies give is that it is more expensive to make womens products.
An example of this is you go into any store and you go to buy razors, or shaving cream. When you go to look at the prices of the men’s vs the women’s, it's more expensive by a few dollars. When you really think about it, the shaving cream and razors are the same whether they are pink or blue or black. There are ways to go around the “Pink Tax,” for example, you could simply buy the mens version.
The “Pink Tax” is very important because it shows the gender and income inequality. Statistics say that women pay on average 7% more for things that are marketed to women. Research shows that women make 82% of what men are paid. “Wealth inequality disproportionately affects women and women of color. Women still make approximately 82% of what men earn. For every 1 dollar earned by white men, Latina women earn 54 cents. Gender-based pricing acts as a disproportionate burden, magnified by a higher impact on their comparatively lower income,” according to AB 1287, also called Eliminate the “Pink Tax”.
Another statistic is that car insurance companies will charge women more because they think of them as higher risk drivers. It was found that women were paying almost 100$ more a year than men. In 2023 California signed the bill AB-1287 that eliminates the “Pink Tax”. This bill was signed by Governor Newsom on September 27th, 2022, and came into effect on January 1st, 2023. The bill has removed the additional tax that is added on to women’s products. The bill has only been signed in two states, which are California and New York, they are the only two states that have signed the AB-1287 bill and have abolished the tampon tax. In those two states there are no unfair prices and taxes on supplies and products that are marketed towards women. The “Pink Tax” is unfair and a clear example of gender and income inequality.