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Industry News
Beverage Industry NewsA beverage tax would cut the fatCan a new tax ever be a good thing? The knee-jerk reaction is no. But what if the new tax offsets other taxes you already pay, reduces health insurance premiums for businesses, and improves our health? A penny-per-ounce excise tax on sugary beverages would accomplish all three.Warren Buffett calls our unsustainable health care costs “a tapeworm eating away at our economic body.” With 60% of adults and 30% of children overweight in New York, obesity is a root cause, driving up health care costs and reducing productivity, while demanding higher insurance premiums and taxes to treat its ravages. New Yorkers pay 80% of the $8 billion in annual obesity-related health care costs for Medicaid and Medicare and the remainder in health insurance premiums.Why a tax on nondiet soda and other sugar-sweetened beverages? Research directly links soda and other sugary drinks to increased rates of obesity and diabetes. Experts, including Centers for Disease Control and Prevention Director Thomas Frieden, say taxing sugary beverages is the single most effective way to reduce obesity.
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