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New York wants to put obesity tax on a can of Coke
Sam Lyon16.12.08
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.
Reader views (4)
maybe a good idea as according to recent figures citizens of the UK are more obese than their american cousins
- Colin, South London England
Think 'precedence'.
And what follows precedence?
Answer - anything and everything they can think of.
- Rogan, Irving
Oh come on Steve it's an original idea. Usually when there's a Budget Deficit about, they just trot out some 'billhooks' about Global Warming to justify more tax....
Keith and Melvin's day off at Nu-Lab HQ is it?
- Rusty Shackleford, UK
Don't scoff,this will be coming to our shores soon,it's a stupid enough idea for Labour to embrace.
- Steve, London
