New Zealand Won’t Enact Sugar Tax

October 19, 2015 Taxation in New Zealand

WELLINGTON – The New Zealand government has opted not to implement a tax on sugary drinks, despite the fact that approximately two thirds of adults in the country are obese or overweight.

In a television on October 18th the Prime Minister of New Zealand John Key stated that the government will not consider implementing a sugar tax as part of its fight against the country’s growing obesity problem.

The idea of applying a tax on sugar-laden foods has been raised repeatedly in New Zealand over the last year, with several academics and health groups all calling for such a measure, especially on sugary drinks.

The Prime Minister explained that if the government levies a tax on the sale of sugary drinks, then it would need to also examine the feasibility of taxing other foods which are high in sugar, a step that the government is not willing to take.

The announcement regarding the sugar tax comes on the same day as the government is set to announce its new policy regarding the actions it will to help combat obesity in the country.

According to recent research by the Ministry of Health of New Zealand, approximately 30 percent of all adults in the country are obese, with a further 35 percent being overweight but not obese.

Photo By: Sh4rp_i