Excise Tax vs. State Tax

The SSB tax would be an excise tax .Excise taxes can be present at all levels of government: local, state, and federal.  State taxes, unlike excise taxes, are imposed upon the customer when they purchase from a product and are generally a fraction of the total price. Excise taxes are taxes on goods produced for sale and are heftier than state taxes. Since the producers and sellers are being taxed, they will raise their prices when the consumers purchase their products. The new tax would be very efficient because the state tax will still be present, along with the new excise tax.

The revenue from the excise tax would go directly to the hands of the government. This is where many people have a problem. The government generally is not resourceful with tax money. Many question whether or not the revenue will actually benefit us. The government is supposed to use the money for educational programs to help fight obesity and other programs that are similar.