Illinois Lawmakers Resurrect Soda Tax On Distributors

SPRINGFIELD, IL -- State Sen. Mattie Hunter and state Rep. Robyn Gabel, both democrats from the Chicago area, have reintroduced a plan to tax sugary drinks before the Illinois General Assembly.

The Healthy Eating Active Living Act would add a penny-per-ounce excise tax on distributors of soda, energy drinks and other beverages with more than 5g. of sugar per 12 fl.oz. Low-calorie, low-sugar and alcoholic beverages would be exempt.

The lawmakers estimate the levy would raise more than $600 million for obesity prevention and health initiatives in schools and local communities.

Last year, the House Revenue and Finance Committee voted 7-2 to stop the legislation.

Most states tax soft drinks purchased in stores and vending machines as part of a general or specific sales tax. If approved, Illinois would join Arkansas, Tennessee, Virginia and West Virginia as states that have an additional excise taxes on distributors.