France approves soda tax

France's top constitutional body on Wednesday approved a new tax on sugary drinks that aims to fight obesity while giving a boost to state coffers.

The Constitutional Council approved the new tax, announced in August as part of the government's fight against and within the framework of a broader austerity programme, after it was passed in last week.

The tax, which works out to one euro cent per can of drink, is expected to bring in 120 million euros ($156 million) in state revenues.

The tax has been slammed by beverage firms including Coca-Cola, which in September said it was suspending a planned 17-million-euro investment at a plant in the south of France in "a symbolic protest against a tax that punishes our company and stigmatises our products."

The Constitutional Court on Wednesday also approved an increase in the reduced Value Added Tax (VAT) on some goods and services from 5.5 percent to 7.0 percent.

Introduced in 2009 as part of measures, the reduced rate saw VAT lowered from 19.6 percent for some businesses, including restaurants and hotels.

The French government has sought to reassure investors and maintain its triple-A credit rating with a series of austerity measures, including the announcement last month of 65 billion euros in savings by 2016, on top of the 12-billion-euro deficit-cutting package announced in August.

The government has said it needs to make 100 billion euros in savings to balance the budget by 2016.

(c) 2011 AFP

Citation: France approves soda tax (2011, December 28) retrieved 25 May 2019 from
This document is subject to copyright. Apart from any fair dealing for the purpose of private study or research, no part may be reproduced without the written permission. The content is provided for information purposes only.

Feedback to editors

User comments

Dec 28, 2011
To start a new tax is probably harder than hike old one, by the same amount. So I'm foreseeing that this tax is going to be increased in few years.

Dec 28, 2011
Another reason to buy Soda Stream.

Dec 28, 2011
Governments clearly have the right to tax vices. Soda should be considered one.

That being said I want a Soda Stream :)

Dec 28, 2011
Another reason to buy Soda Stream.

I got that for Christmas, the root beer one I tried was pretty good.

Dec 28, 2011
French 'progressives' who use a Soda Stream are doubly hypocritical: 1: They are expending energy to fist sequester CO2 and then releasing that CO2; 2: If are trying to evade a govt tax.

Dec 28, 2011
Heh, what's next Marjon?

" 'Progressives' are hypocrites for breathing. " ?

That has about as much face validity as your little spiel above. Try making sense for once. You know the vast majority of the people here (including myself) probably agree with you most of the time, when you actually make a sincere point. You just make it impossible for us to express such because of the way you insist on disseminating your tired prejudices.

Why am I trying to reason with you...

Dec 28, 2011
Well Frankie, you support raising taxes (you admit to being a 'liberal'/'progressive'), but given the opportunity, would avoid paying a soda tax by making your own soda.
Soda is charged with CO2, which the AGWites claim causes global warming.

Dec 28, 2011
And incandescent bulbs cause more mercury to be released into the environment than a CFL even if it is broken and disposed of improperly. So you support the poisoning of people with mercury?

See, you're lazy Marjon. Your arguments are lazy. You might as well just say " 'Progressive' are hypocrites for respirating," but even you can realize how lazy that is.

I did not say I want a soda stream to "avoid paying a soda tax". I just said I wanted one. I happen to enjoy sodas and the idea of manufacturing them in my home appeals to me. You are putting words in my mouth like you do with everyone.

I want there to be a soda tax. Soda is objectively bad for people and to a slight degree a scourge on society.

I support taxes, as do the vast majority of Americans. Unlike you I realize man is not an island unto himself. We have entered into a social contract. You have to give up certain freedoms to be part of society. Hording every dime is one of the freedoms you must give up.

Dec 28, 2011
I happen to enjoy sodas and the idea of manufacturing them in my home appeals to me.
I want there to be a soda tax.

How do you plan to pay that tax if you make your own?
Soda is objectively bad for people

But not for Frankie?

Dec 28, 2011
If you want to walk around in circles do so by yourself.
This will be the last time I respond to you in this topic, but I will respond this last time.

How do you plan to pay that tax if you make your own?

I'm assuming since IT IS SODA it would be taxed as well. I'm assuming the sugary syrup that one must buy to use the soda stream would be taxed as if it were soda.

Unlike you, I don't spend all day thinking up ways to avoid taxes. The thought didn't cross my mind. I was simply stating that I would like a soda stream. Not for any tax reasons.

But not for Frankie?

Soda is horrible for me and everyone. I still enjoy it. If it were taxed I would gladly pay the tax and maybe even curb my usage if the tax were high enough :)

Imagine how much less universal healthcare would cost if there were significantly less elderly diabetic fat@sses like yourself leaching money out of the system.

Have fun wandering in circles by yourself.

PS: So you support mass mercury poisoning?

Dec 28, 2011
What a surprise, Frankie resorts to insults.

Medicare (govt health care) is going bankrupt. The govt subsidizes sugar, corn, wheat, all which lead to insulin resistance and type II diabetes.

UK's universal health care is bankrupt. Is that due to too many fat-ass Brits?

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more