Some politicians may think that beverage taxes are an easy way to fill a budget hole, but tax expert Jared Walczak of the Tax Foundation says, “Taxes on soft drinks miss the mark.”
In a recent blog post Walzak warns West Virginia lawmakers that a tax on common beverages is a misguided approach to generating revenue that will leave the state worse off.
“Taxes on sugar-sweetened beverages are regressive, encourage cross-border shopping, and lead to unintended economic consequences,” wrote Walczak.
He’s right. The impact would be substantial and mainly on low-income families and small businesses. And it has been shown that these types of taxes do not make people healthier, adding to the case that they are nothing more than a money grab.
Real solutions start with hard work being done in communities that need it the most. America’s beverage companies are doing just this through our Balance Calories Initiative, in which we are working to reduce calories and sugar from beverages in the American diet.
To learn more, visit balanceus.org