The city’s 1.5-cent-per-ounce tax on sweetened beverages does not violate state law, the court ruled.
The Pennsylvania Supreme Court, on July 18, upheld Philadelphia’s 1.5-cent-per-ounce tax on soda and other sweetened beverages in a blow to soda manufacturers.
According to a report by Philly.com, the 4-2 majority opinion found the city of Philadelphia did not violate state law when it introduced the tax, after those opposing the tax argued it amounted to double taxation because it is passed on to customers who already pay sales tax on the beverages.
Philadelphia became the first big U.S. city to pass a tax on soda and sweetened beverages in 2016.
Philly.com pointed out that the tax is likely to be a key issue in the 2019 mayoral race as Mayor Jim Kennedy, who spearheaded the tax, will be up for re-election.
