The Purpose and Legitimacy of Imposing a Consumption Tax on Non-Alcoholic Drinks

• The government has increased the tax on soft drinks, fruit juices, and non-alcoholic beer, called the ‘consumption tax’, to encourage healthier choices.
• Imposing additional taxes must serve a specific purpose and not be exempt under the Excise Directive.
• The purpose of the tax is not defined, but case law provides guidance.
• The tax on ice cream and beverages in an Austrian court case was deemed to serve a budgetary purpose, not a specific purpose.
• The tax on high alcoholic products in a French court case was deemed to serve the additional protection of human health.
• Different rules apply for products not covered by the Excise Directive, such as (sugary) non-alcoholic beverages.
• The tax on non-alcoholic beverages should not have the character of a turnover tax and should not create border formalities.
• The effectiveness and permissibility of the consumption tax on non-alcoholic drinks are questioned.

Source: eur.nl

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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