HALIFAX, NS: The Canadian Taxpayers Federation (CTF) is firing back at a proposal by the Newfoundland and Labrador Medical Association to implement a new tax on sugary drinks. CTF says that a pop tax would hit those who can least afford it the most, result in provincial job losses and won’t dramatically benefit peoples’ health.

“A pop tax won’t make people healthier; the only thing that will be lighter is taxpayers’ wallets,” said Kevin Lacey, Atlantic Director of the CTF. “The government has raised everything from income taxes to sales taxes and gas taxes – adding another new tax would just heap on to an already huge burden.”

The CTF asserts that taxes on pop like those proposed by the Newfoundland and Labrador Medical Association would hurt those who can least afford it the most. In Mexico, 63.7 per cent of all pop tax revenues comes from low-income families, while 37.5 per cent comes from families in poverty.

Pop taxes kill jobs. Other jurisdictions that implemented a tax have seen the beverage industry cut good well paying jobs. 

A pop tax won’t make Newfoundlanders healthier. Pop consumption has been on the decline for years, yet peoples’ waistlines have still been growing.

“A pop tax is just another tax grab being marketed as a health initiative. Only the government will reap any benefit. Citizens need to tell their government they won’t tolerate another tax,” added Lacey.

In May 2016, Newfoundland and Labrador Finance Minister Cathy Bennett said that she considered a pop tax but the administrative burden would simply be too much for the provincial government to carry.

The CTF commissioned a report looking at the impacts of a tax on pop, fat and sugar entitled “Tax on the Menu: Why taxing food and drink won’t make Canadians thinner. But will make their government much, much fatter.” It can be downloaded HERE.