Tax on Tobacco, Soft Drinks and Energy Drinks will Implement Soon


Taxing soft drinks

A 50 per cent tax on soft drinks will be implemented in the second quarter of 2017. The government’s Fiscal Balance Program 2020 Report stated that this would help fight the high rate of obesity and diabetes in the country, especially in children.

Taxing tobacco and energy drinks

A 100 per cent tax on tobacco and its by-products as well as energy beverages will be implemented in the second quarter of 2017 as well. This aims to bring down the number of smokers in the country. With 14 per cent of teenagers and seven per cent of women in the Kingdom being smokers, the country has one of the world’s highest numbers of smokers. In the same context, energy drinks are deemed to pose a health risk.