Feasibility of Sugar-Sweetened Beverage TaxationFeasibility, of SSB Taxation in Canada in CanadaSSB Taxationin CanadaFeasibility of

Exploring the feasibility of soda/sugar-sweetened beverage (SSB) taxation in Canada requires considering federal and provincial powers and prerogatives in terms of public health and taxation. In this chapter, the applicability of various types of soda taxes is considered for both jurisdictions. Overall, excise duties generally are the more documented and recommended option to tax soda. Introducing such a tax in Canada is likely feasible, but at the federal level only. At provincial level, the introduction of a special tax on SSBs sold at retail according to the tobacco and alcohol special tax models is an avenue deserving particular attention. Defining the tax scope would likely raise some issues since generally, in the Canadian fiscal nomenclature, all carbonated beverages are considered regardless of their calorie content and composition. As regards taxation rate, Chaps. 6 and 7 of this book suggest that it is reasonable to expect SSB consumption to decrease as a result of a significant tax (i.e. provided it generates a 10–20 % price hike). Finally, a robust mechanism facilitating the administration and the earmarking of tax revenues for health promotion initiatives and social programmes would likely be desirable and feasible in Canada.