Is it a crime to be fat in New York? A fashion crime, perhaps, but there might just be something of an obesity tax coming soon. Governor David A. Paterson (whom I confess I still think of as He-Who-Oh-So-Suddenly-Replaced-Spitzer) proposed a $4 billion tax and fee package in an effort to control his state’s budget deficit. As more state budgets continue to come up short, is this a sign of what’s to come?
Will the developed world’s most obese country be taxed into becoming a more fit union?
Having moved to Seattle from New York City, I can’t help but chuckle over this one. As part of a set of taxes, fees, and other interesting measures, the so-called obesity tax would be an 18 percent levy on non-diet soft drinks, meaning those that many of us consume without considering the calories they punch per bottle, can, or glassful. Personally I’ve always thought it’s better to have a little sugar in moderation than to imbibe, say, a six-pack of Diet Coke per day. And, better yet, I prefer my Coke to be made from sugar cane, rather than corn syrup . . . but I digress.
Back to fashion, one of the best things about shopping in New York City is the fabulous sales tax exemption on clothing and footwear. And with what rent costs in that city, I know that my personal wardrobe consisted of many a non-sales taxable item, even if it meant waiting for my favorite kitten heel pumps to go on sale from $180 to $110 prior to the 2007 exemption (yes, that actually happened once, on Lexington Avenue in the 70’s, not far from the 6 train). Pre-2007, items under $110 were tax-free. Post-September 1st, 2007, no cap on the tax-free price for clothing and footwear.
If Gov. Paterson’s budget passes, then the Coke I’d be sipping and the coat I’d be buying would both now be taxable. Add up enough beverages and clothing/footwear purchases per month, let alone year, and I could be spending at least an extra monthly Metrocard’s worth (and, yes, the cost of a subway ride is slated to potentially increase, too!). What’s a girl to do?
Well, according to his many proposals, there would be also be a two-week sales tax holiday for items priced under $500 . . . so I’d just have to time my next visit to the Big Apple accordingly. 
P.S. [Added Tuesday¸ December 30, 2008] Alright, it seems that this “Fat Tax” as it’s being called in various media venues has made its way to YouTube. My words could do no justice; you just have to check this out for yourselves:
UPDATED MARCH 11th: As things tend to do in this state, the story seems to have changed in a New York Minute, as seen here and here (in which a New York Times blog lede from early this afternoon reads, “Goodbye, soda tax. Adios, iTunes tax. Farewell, haircut tax.” Federal stimulus money will be used to help balance New York’s budget, rather than the most unpopular of the Governor’s tax proposals, it would seem . . . ).
Filed under: Legislation, Taxability Tagged: | exemption, Fat Tax, Governor Paterson, New York, New York City, Obesity Tax, sales tax, sales tax holiday
Hmmm… the fat tax is an interesting idea in theory but I highly doubt it would work.
I was watching a show on TLC last night about super obese people, those who weigh over 500 lbs. Clearly they have emotional issues and in most cases it was their parents or kids who were as much to blame for showing their love by buying them food. For the most part these people seemed middle class at best. They were living very modest lives and in some cases appeared to be struggling financially . Do I think these people would eat healthy if the food were taxed? No way. They’d still buy the sugar-laden soda and maybe scrimp on other foods……like white bread instead of whole wheat and maybe eat less fresh vegetables because they are expensive. . And diet sodas are a real problem as they contain neuro-toxins and don’t help people lose weight. It’s a toss-up as to which is healthier….a can of diet coke or regular coke. Why tax one and not the other?
People need to take personal responsibility for their own health. Anyone who consumes a six pack of soda knows it’s not good for them. But I don’t think punishing them is the way to go. People still smoke even though cigarettes cost a small fortune. What we do need is to educate people, give them incentives to work out and address their emotional issues. But just like our country to go about everything ass backwards. But now I digress….
[...] a tax on sugary beverages Posted on September 17, 2009 by Althea Azeff Last December I mused over the proposed “obesity tax” on sugary drinks in New York, where it seriously feels just [...]