ALBANY, NY — New York state could impose a 15 per cent 'obesity tax' on high-calorie soft drinks as the governor tries to pay off a crippling $15 billion budget deficit.
Non-diet versions of popular drinks including Coke and Pepsi could be targeted, taking political advantage of fears over obesity and ill-health.
Governor Paterson Proposes Soda ‘Obesity Tax’
ALBANY, NY — New York state could impose a 15 per cent ‘obesity tax’ on high-calorie soft drinks as the governor tries to pay off a crippling $15 billion budget deficit.
Non-diet versions of popular drinks including Coke and Pepsi could be targeted, taking political advantage of fears over obesity and ill-health.
Governor David Paterson, a Democrat, is also expected to impose higher taxes on luxury items from furs to boats, the New York Times reported yesterday. The measures, which are certain to create a furore, could raise $400 million.
Mr Paterson has said he will not raise state income tax but added: ‘You can’t tax $50 billion on New York’s wealthiest residents. You are going to have to take it from other places and hopefully, if there were to be an income tax, it would be at the end of the process, not the beginning.’
Some other US states have sales taxes on soft drinks, sweets and snacks.
But New York’s proposals would be the first to distinguish between ‘diet’ and ‘non-diet’ products.
The proposals come after previous attempts by New York and California to pass a “fat tax” on high-calories foods.
The move would face stiff opposition from Coca-Cola and Pepsico, whose corporate HQ is in New York state.
A spokesman for the American Beverage Association said: ‘It looks like a money grab. [Mr Patterson] is trying to grab money anywhere he can find it. This is a time when the government, just like families, needs to tighten its belt.’
He added that obesity rates were rising but soft drink sales were flat.
Moishie
How about an annual $1,000 tax/fee on all politions that hold an elected position.
Have a fair tax scheme
Why is it not possible to openly tax the top earning bracket of people?
This type of blanket tax on certain types of food/drink forces people from the lowest income bracket to pay the same flat tax as the wealthiest people.
Obviously soda is a non essential item, but many people who are poor enjoy the occaisional cake or cookie and it is very unfair to tax them at the same level as the millionaire who orders exotic restaurant desserts.
s.c
why does he think that non-diet beverges are more unhealthy than diet- we all know what they put in beverages to make them ‘diet’