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Pink Tax: Meaning & Its Impact on Women

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Created on
May 9, 2023


What’s Inside

Have you ever noticed a significant difference in the price of items targeted at men versus those aimed towards women?

Women everywhere are subject to a ‘pink tax’, a term granted to the unofficial price increase of certain commodities. Pink tax examples include salon charges, personal care products, clothing, and even jewellery!

But how did the pink tax originate? Stay with us as we explore this theme and assess the impact of the pink tax on women.

Introduction to Pink Tax

While the name can be misleading, the government does not levy the pink tax on goods aimed at women. It is a term that originated in 1994 in California when an official survey found that several laundry stores in several cities charged more to wash and clean a woman’s blouse compared to a man’s buttoned-up shirt.

Since then, it has been realised across the world.

Coming to the pink tax meaning, it can be defined as the markup or increase in price observed in goods or services created and marketed towards women. Although the pink tax is not illegal, it is a discriminatory tax that forces women to pay more than males.

Here are some everyday examples of pink tax being levied:

  • Salon appointments, where women are charged higher for haircuts than men.
  • Grooming products like deodorants and shampoos focused on women
  • Clothes and toys focused on the female-centric market

What’s even more surprising is that the pink tax is applied not only to goods exclusive to women but also to common goods available to men at a lower price.

How Women are Affected by Pink Tax

Did you know that Indian women earn approximately 35% lesser wages than their male counterparts?

While the number of women occupying leadership positions has increased, the pay gap continues to haunt them.

Women earn less than men yet pay higher costs for products and services. Hence, the pink tax in India increases gender-based wage equality and leaves women with limited purchasing power.

Plus, high prices also impact societal norms and compel women to live up to a particular definition of beauty. Failing to live up to these standards may invite feelings like loneliness, anxiety, and depression.

Several world governments have taken proactive measures to combat the pink tax and make products more economical for women. India’s stand on the issue is yet to be seen, as there is an increasing need for awareness among males and females alike regarding the pink tax.

Summing Up

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People Also Ask

1. When was the pink tax introduced?

The concept of pink tax has existed for a while, but the term was formulated in 1994 in California. It was created after a realisation that brands across several cities were charging women more for goods and services.

2. Is there any pink tax in India?

The pink tax is a common occurrence in India. You can observe it on products like deodorants, jewellery, clothes, toys, face creams and in places like salons.

3. What is the gender tax in India?

Gender tax, commonly called a pink tax, is an artificial inflation in price for female-driven products and services. It is an unofficial and discriminatory markup that forces women to pay more for some goods and services compared to their male counterparts.

4. What is the tax limit for female in India?

There is no specified limit for the pink tax in India. It is decided per the market movement and demand of female-centric goods and services.


Fi Money is not a bank; it offers banking services through licensed partners and investment services through epiFi Wealth Pvt. Ltd. and its partners. This post is for information only and is not professional financial advice.
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