Kerala's newly elected Left Democratic Front Government in its revised Budget for 2016-17 proposed to levy an additional 14.5% tax on restaurants serving burgers, pizzas, sandwiches, tacos, doughnuts, burger-patties, pasta and bread fillings, generally categorized as Junk Food.
Will this prevent obesity? Kerala slaps "fat tax" of 14.5 per cent on restaurants selling pizzas, burgers etc! https://t.co/fpaNZ4FQA3— Chitra Narayanan (@ndcnn) 8 июля 2016 г.
The law is aimed at dissuading youth from consuming junk food that has ill effects on health. Nevertheless, the government also hopes to increase its revenue collection by this measure.
Kerala Govt impose extra tax on Junk food!!!!! FAT TAX of 14.5%…Jubilant Foods Stock cracks, down 2.53%— Geetu Moza (@Geetu_Moza) 8 июля 2016 г.
Countries like Denmark and Hungary have already experimented with the concept of "fat tax."