Hot Topic (8/18): Taxing "simple pleasures"--good idea or not?
Still, they're taking no chances. The American Beverage Association has begun a $2 million ad campaign to oppose a tax on sugar-sweetened drinks, depicting it as a tax on "simple pleasures."
Last month, the group joined forces with the National Restaurant Association and the Grocery Manufacturers Association to launch Americans Against Food Taxes, a coalition of 110 state and local groups.
As President Obama and members of Congress hold town-hall-style meetings on health care, the sugar-tax debate is brewing in the capital.
"There's a good argument that can be made" for taxing the causes of chronic, costly illnesses, says Rep. Bill Pascrell, a Democrat from New Jersey who has a diabetic son.
Proponents, citing how higher tobacco taxes reduced smoking, are pushing a tax on sugar-sweetened beverages, including fruit and energy drinks, to fight obesity and fund a health care overhaul.
"This is one option," says Thomas Frieden, director of the Centers for Disease Control and Prevention, adding that his view does not represent the Obama administration. He points out that obesity is a growing problem, and taxpayers foot half the cost through Medicare and Medicaid. He says soft drinks are the single largest contributor.
"If it costs more, people will drink it less," Frieden says. He says a penny-an-ounce tax could reduce consumption by more than 10% and raise $100 billion over 10 years.
House and Senate committees looked at the tax earlier this year but, as opposition mounted, dropped it from their menu.
Most states tax soft drinks, often as part of broader taxes on food or vending machine sales.
"People view it as an overreach of government when the tax code is used to tell them what to eat and drink," says Kevin Keane of the beverage association. He says the tax hurts low- and middle-income people most.
"It makes no sense to single out one product," Keane says, noting a recent dip in soda sales. In the 1990s, sales rose an average of 3% a year but began falling in 2006, says John Sicher, editor of Beverage Digest, an industry publication.
A report last month by the Urban Institute, a non-profit research group, does not single out soft drinks. It proposes to tax all fattening foods, including chocolate, based on a British model that calculates a food's nutritional value against its calories. It suggests using part of the $500 billion raised over a decade to reduce the cost of fruits and vegetables and increase food stamp allotments.
"If you want to eat food that makes you obese, that's your right," but you should help pay the societal costs, says co-author Stan Dorn. He says a tax could help low-income people by paying for health care and healthier foods.
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Do you think that unhealthy foods should be taxed to "help pay the societal costs" of obesity?
Or does this type of tax hurt low- and middle-income people the most?
Are you in favor or against this type of tax?
I think using the health of the general public as an excuse to raise or levy a tax is rediculous....but when they want more tax dollars, any excuse will work.
More and more government is intruding into our personal life. If we continue to stand by while they write these laws we will soon find many if not all of our freedoms are gone. since this is written into the medical bill they are going to have access to our medical records, will know who has what kind of health care problem and if it is sugar related they can tell us no more soft drinks, then it will be no more junk food, and who knows what else. Not only will our life be taken over, but many businesses will be forced to close. Then one day there will be no one to tax.
Do you think that unhealthy foods should be taxed to "help pay the societal costs" of obesity?
Sorry - you'll never find me voting in favor of more taxes on anything. The govt. has all the money it needs - it just needs to quit spending it so stupidly.
Or does this type of tax hurt low- and middle-income people the most?
Oh, I'm sure it's a nuisance to everyone, but obviously - yes.
Are you in favor or against this type of tax?
I'm agaisnt.
A penny an ounce? So 16 cents more for a pepsi, big whoop. That won't deter anything. As someone said before, its just an excuse to raise taxes.
I think we already pay enough taxes. So now they want to try and tell us what to eat and drink? It seems like America is becoming less free by the minute. I do agree that obesity is a problem, taxing sugary foods and beverages is not the answer, however. And yes, I think the tax would hurt low and middle income families the most. It's already a struggle to buy "healthy" groceries on a budget. So sometimes when I'm on an especially tight budget for groceries I do buy the less healthy choices of foods and beverages just to be able to provide all of the food I need for my family in a week.
Do you think that unhealthy foods should be taxed to "help pay the societal costs" of obesity? No instead of taxing, they should make healthy foods more affordable, even though soda really is unhealthy, taxing it won't make those who enjoy it stop. It will just make them spend more money then they need to. Not to mention what gives them the right to tell anyone what to eat.
Or does this type of tax hurt low- and middle-income people the most? I do think that it will hurt anyone that drinks soda and decides to do so even after the taxes go up. My mother has smoked as long as I can remember and everytime the price goes up she says that's it she is done..but she still spends the money. But it is her choice not anyone else and that is how it should be, we are not children that need parents looking over our backs or are we?
Are you in favor or against this type of tax? I am not for it for the "reasons" they are saying it is for, taxing people to make them quit doing something is a pretty crappy way to control someone...
Quoting rozepyle:
its not going to make a difference at all. whatsoever. people will be fatties forever no matter what you or big brother sais.
100% agree and it peeves me to think they want to catagorize it as an illness. ( yes I know some are due to illness but not most)
The smokers I know STILL smoke, regardless of the tax. People will continue to drink soft drinks and eat junk food even if they tax the daylights out of it.
Eight Year Old Girl Given "Catastrophe Award" By Teacher
- Cafe GroupAdmin
on Aug. 18, 2009 at 1:43 AM