News reached me today via Milly & Pip (media health reporter for www.billycraig.co.uk and www.healthchek.info), that Denmark has imposed a 2.3 percent saturated fat tax. Is this the first "fat tax?" Its not a new idea, governments have always imposed taxation on foods, currently value added tax (VAT) is payable on grocery items but some strange discrepancies occur such as the gingerbread man (a sort of traditional english biscuit). If decorated with two chocolate eyes it is exempt from VAT, but if it contains any more chocolate, such as a chocolate nose then standard-rated VAT is charged.
Products where VAT is payable
Wholly or partly chocolate coated biscuits
Gingerbread man decorated with chocolate (unless this amounts to no more than two chocolate eyes!)
Arctic Rolls (ice cream wrapped in sponge, this actually exists)
Sorbet
Chocolate bar
Nuts or fruits covered in chocolate or yogurt
Flavourings for milk shake
Potato crisps
Roasted or salted nuts without shells
Now I'm not suggesting any of those should get any special exemption particularly the flavorings for milkshakes. However when comparing them to the list below, its hard to make sense of why some remain taxed while others stay exempt.
VAT-exempt foods (if you call them foods)
Chocolate chip biscuits
Jaffa cakes
Cream Gateaux
Mousse
Chocolate spread
Toffee apples
Milkshake
Tortilla or corn chips
Roasted or salted nuts supplied in shells e.g. monkey nuts, pistachios
So while the "fat tax" might seem well meaning its more likely to focus on boosting the treasury. It will no doubt become a "butter and steak" tax, forcing those on lower incomes to eat cheap processed food made with manmade unsaturated low tax fat/oil.
This is Denmark at the moment but its rumored that Ireland is looking at the possibility of introducing "fat tax", so it would be safe to assume that all other countries are at risk extra taxation on natural products that contain saturated fats.
Products where VAT is payable
Wholly or partly chocolate coated biscuits
Gingerbread man decorated with chocolate (unless this amounts to no more than two chocolate eyes!)
Arctic Rolls (ice cream wrapped in sponge, this actually exists)
Sorbet
Chocolate bar
Nuts or fruits covered in chocolate or yogurt
Flavourings for milk shake
Potato crisps
Roasted or salted nuts without shells
Now I'm not suggesting any of those should get any special exemption particularly the flavorings for milkshakes. However when comparing them to the list below, its hard to make sense of why some remain taxed while others stay exempt.
VAT-exempt foods (if you call them foods)
Chocolate chip biscuits
Jaffa cakes
Cream Gateaux
Mousse
Chocolate spread
Toffee apples
Milkshake
Tortilla or corn chips
Roasted or salted nuts supplied in shells e.g. monkey nuts, pistachios
So while the "fat tax" might seem well meaning its more likely to focus on boosting the treasury. It will no doubt become a "butter and steak" tax, forcing those on lower incomes to eat cheap processed food made with manmade unsaturated low tax fat/oil.
This is Denmark at the moment but its rumored that Ireland is looking at the possibility of introducing "fat tax", so it would be safe to assume that all other countries are at risk extra taxation on natural products that contain saturated fats.
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