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Five possible variants for consumption tax according to sugar content

The government is considering five variants for a differentiated consumption tax on non-alcoholic beverages based on sugar content. This would make low/no sugar drinks cheaper and high sugar content drinks more expensive. State Secretaries Van Rij and Van Ooijen will update the House of Representatives on the plans, and the House will make the final decision. The first variant applies the tax to all beverages with no exceptions, while subsequent variants exempt more beverages or apply a lower tax rate. There are challenges in distinguishing between natural and added sugars, and state aid aspects may also be considered. Stakeholders have until 7 June 2024 to provide input before the decision-making process.

Source Taxlive

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