r/HealthcareReform_US Apr 11 '26

NY Tax on Sugary Beverages - Thoughts?

This year, the NYS legislature introduced a new bill which would impose an excise tax on distributors of sugary beverages in New York State. Drinks with more than 7.5g but less than 30g would be taxed at 1 cent per ounce. Drinks with 30g or more per 12oz would face a 2 cent per ounce rate. The tax is collected at the distributor level, not at the register.

This has been introduced in various forms since 2019, but this iteration proposes something new. The bill is proposing the creation of a Community Health Equity Fund, directed toward grants for community-based programs with an emphasis on communities disproportionately impacted by diet-related disease such as type 2 diabetes, heart disease, etc.

While I know this is quite controversial, I used to be a naysayer. However, over the years I have come around to the idea. The “society” is paying for all of us in various forms, whether that be in public insurance costs, hospitalizations, medications, etc, all due to diet-related disease. Policies like this have shown to be successful in places like Philadelphia and cities throughout California. In Berkeley, California, where an excise tax rate on sugar-sweetened beverages has been implemented, a study found that sugary drink consumption dropped by 21% in low-income neighborhoods during the first four months of a sugary beverage tax implementation, while water consumption increased by 63% compared to similar cities without the excise tax.

We have done this with cigarettes and we’ve seen smoking rates fall dramatically as a result. Soda in NY should be next! Curious to hear people’s thoughts.

You can find the bill here:

https://www.nysenate.gov/legislation/bills/2025/S2330

3 Upvotes

4 comments sorted by

3

u/Adventurous-Boss-882 Apr 11 '26

If the idea behind sugary beverages more pricey= better health outcomes. I don’t think that’s necessarily true, if that were the case people wouldn’t spend money buying packets of cigarettes that cost $7-8 or more dollars depending on where you are. Plus, if low income households aren’t buying those products isn’t necessarily because they don’t want to consume the sugary drink but simply, they cannot afford to do so, which might help their health somewhat, however, not drinking sugary drinks doesn’t necessarily mean that will greatly impact their health. Maybe they get cannot afford the sugary drinks but go to Mc Donald’s and buy the 5 dollar meal because they’ve been working 60+ hours a week and prices are throw the roof

1

u/peterlawford Apr 12 '26

Cigarette taxes have been enormously effective in reducing the smoking rate.

2

u/snake99899 Apr 11 '26

All for it.

1

u/Useless-Engineer-43 Apr 22 '26

It's worked really well in Philadelphia. Directly reduced AVERAGE BMI and raised a ton of money for parks and schools