Consumption Tax tagged posts

UK Sugar Tax is Already Working

April 9, 2018 Taxation in UK

sugar tax in the UKLONDON – The UK’s sugar tax has already forced drinks manufacturers to reduce their sugar, and will lead to young people consuming less sugar, while older consumers are showing very little sign of wanting to change.

New research conducted by experts at the UK Institute of Fiscal Studies has suggested that the country’s newly-enacted sugar tax will lead to a reduction in sugar consumption among only a select group of people in the country.

Under the new rules enacted on the 6th of April, drinks manufacturers will need to pay a tax of GBP 0.18 per litre on drinks with a sugar content exceeding 5 grams per 100 ml, and a higher tax of GBP 0.24 per litre on drinks with more than 8 grams per 100 ml.

The researchers believe that most consumers will see some reduction in their sugar consumptio...

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South Africa’s Sugar Tax Launched

April 4, 2018 Taxation in South Africa

sugary drink taxPRETORIA – South Africa is tackling its obesity epidemic by targeting sugary drinks.

Over the weekend South Africa’s tax on sugary drinks came into effect, with manufacturers now paying out a fee if their drinks are too sweet.

From April 1st, manufacturers and importers of sugar-sweetened beverages will be liable to pay a levy on the sugar content of the drink.

The levy is only charged if the drink has sugar content in excess of 4 grams of sugar per 100 mls.

The rate of the levy is currently set at ZAR 0.021 per gram, for each gram over the 4g threshold.

The threshold was set at 4g to encourage manufacturers to create low-sugar alternatives.

It is hoped that the new tax will help alleviate the problem of obesity in South Africa, as it is now the country with the highest obesity rate ...

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Don’t Forget the VAT, Say UAE Authorities

March 14, 2018 Taxation in UAE

Dubai taxABU DHABI – Businesses in the UAE are being reminded to comply with their new VAT obligations.

The Federal Tax Authority (FTA) of the United Arab Emirates has issued new guidance to all businesses in the area, advising them of their responsibilities as VAT-registered entities.

The main guideline was the reminder that any prices for goods or services displayed, offered, or advertised by the business must be inclusive of all VAT and Excise duties which will be owed on the sale.

The FTA said that not displaying taxes on the sale price is equivalent to misleading consumers.

Any businesses that do not display taxes on its products will be liable to pay a fine of AUD 15 000 per tax which is not already included in the price.

The introduction of VAT in the UAE has hit some minor roadblocks, ...

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UK Mulls the Idea of Gum Tax

March 13, 2018 Taxation in UK

cleaning chewing gumLONDON – Chewing gum costs so much to clean up each year, that the UK government may start taxing it to recoup their losses.

On March 13th the Chancellor of the Exchequer of the UK Philip Hammond is expected to announce the launch of a new public consultation of potential tax measures aimed at eliminating or reducing the spread of single-use plastics.

Taxes on single-use plastic items are an increasingly popular measure around the world, and the UK looks set to join the ranks of countries with similar taxes.

The Exchequer indicated that the consultation will also include discussions on whether any such tax should be levied on chewing gum, which is made up of compounds similar to those seen in plastic products.

Currently, chewing gum is the second most common type of rubbish found on the ...

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Plastic Bag Tax Proposed in Guam

February 19, 2018 Taxation in USA

Plastic bag taxHAGÅTÑA – Plastic bags could soon carry a tax or fee in Guam, both for shoppers and businesses.

Shopping in Guam could become more expensive for fans of the humble plastic bag, as a new bill has been introduced to add taxes for imported bags and those given to shoppers.

Under the scope of the new rules, shops and restaurants which distribute a plastic bag to a customer without charging a USD 0.25 fee will face a fine of USD 500 for the first offence, and a USD 1 000 fine for any subsequent offence.

The businesses themselves would also pay a tax of USD 0.10 per plastic bag imported into Guam.

The tax is not specifically aimed at being a significant source of new revenue, but an incentive for businesses and consumers to wean themselves off their reliance on plastic bags.
The bag tax wou...

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