As we all know or should know in 2016, there are many negative effects that accompany the over consumption of sugar. Some cities like Berkeley, CA and more recently Philadelphia have decided to take a stand against sugar by introducing the Soda tax.
Photo: WSJ |
What is the soda Tax?
Ok, so the city of Philly isn’t just passing the tax to be more health conscientious. There’s nearly always an ulterior motive. But let’s explain the Soda tax first.A soda tax, sugar tax or soft drink tax is a tax or surcharge on soft drinks specific to the promotion of reduced overall sugar consumption. In most forms the tax is designed to discourage the production, importation and purchase of carbonated, uncarbonated, sports and energy drinks, with excess levels of added sugar.
A few weeks ago on June 16 2016, Philadelphia’s Mayor Jim Kenney officially announced the passing of the sugary drink or otherwise known; soda tax.
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In 2012, Philadelphia was listed as the 3rd largest populated city in the America. It was also in the top 10 list for the poorest cities.
So in an effort to quell poverty (instead of promoting a healthy lifestyle) and tap into an untapped well of possible income, Mayor Kenney proposed the tax as a source of income to create universal pre- kindergarten.
That’s right, you heard right. UNIVERSAL PRE-K. Where the hell was that at when I was growing up?!
I digress.
Philadelphia’s soda tax proposes “1.5 cents an ounce will apply to all sugary or artificially sweetened drinks sold by distributors in the city,” which is expected to increase prices . If you put that into perspective, then that’s about 30 cents for a 20-ounce drink or $2.16 for a 12-pack.
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As we all know, when the government places tax on goods, businesses will pass that tax onto consumers. With that in mind, officials believe this will reduce the sales of sweetened drinks substantially and provide alternate income to the city. AKA killing two birds with one stone.This is a ground breaking moment for not only the city of Philadelphia, but also the rest of America. And possibly even the world. Precedence has been set and the remainder of the U.S. awaits the outcome.
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