The 1944 Federal 'Cabaret Tax" that ended the Big Band Era in America

By the time that America was deep into the politics of World War II, ballroom dancing had evolved into a sophisticated and elegant form of social dancing that had literally swept America off its feet. Nearly all of the modern-day ballroom dances were established and enjoyed by dancers across the nation; the Foxtrot, Waltz, Tango, Rumba, Samba, Cha-Cha, among other dances, as well as the Lindy-hop and other localized styles of Swing dancing that had emerged around the country.

However, in 1944, the United States government levied a steep tax against any and all establishments which contained dance floors, served alcohol and other refreshments, and/or provided musical entertainment. The definitions were vague and most of the wording of the laws that applied to this tax are still confusing to this day as to what qualifies as a ballroom or dance hall. However, the terms were clear; between the Great Depression and World War II, America needed money, and the multimillion dollar business of ballroom dancing and big bands was targeted with an incredibly-high 30% "Cabaret Tax."

Many people of the day felt a duty to do their part to help fund the end of the war and reluctantly complied, especially since the tax was supposed to be lifted by 1947. However, when Congress decided to reinstate the tax just before it was scheduled to expire, many dance halls across the nation closed. Some closed partially in retaliation, but most were simply unable to continue paying the high tax from meager profits due to the lack of attendance. Dancehalls were forced to charge an additional 30% charge on admission, drinks, food, and whatever else they charged guests for. Additionally, the post-War years took on a whole new conservative and stale aura, and people were more than willing to stay home and save their money in order to raise families and recover from the losses of the war.

The business of big bands and dance music, which had become America's shining model of musical pride, was hit even harder. The cost of hiring a big band became so impossible for dance halls that most big bands were unable to find work and thus ceased to exist. Add to this the fact that many musicians who had been playing dance music across the nation in the early big band years had failed to return home alive from the war (Glenn Miller for example), and there was nothing that could save the great era of the big bands. With only a few exceptions, most big bands broke up and musicians were forced to reassemble into smaller groups that played new styles of jazz music that people could not dance to, thus ending America's first and largest wave of ballroom dancing that it had ever seen. It would take a new generation, a new type of music, and a new young star to get people dancing again. Elvis Presley and the "Rock and Roll Revolution" would bring people to the dance floor again via the teen population who had been born after World War II ended, and it would be Swing dancing that emerged once again as the dance of choice for America's youth.

Today, most people have to go to ballroom dance studios for public ballroom dancing.  To find out where to go ballroom dancing in Orlando, check out the calendar section of www.OrlandoBallroom.com. 

Resources used:

Library of Congress

Sengstock, Charles A., Jr.
     2004 That Toddlin' Town: Chicago's White Dance Bands and Orchestras, 1900-1950. Board of Trustees      of the University of Illinois.