New Delhi: A visit to God’s own country could be taxing, especially if you are a junk food freak. In a first-of-its-kind move for an Indian state, the Kerala government today introduced a ‘fat tax’ on consumers eating junk food items, which includes pizzas, burgers, pastas and more, that are sold through branded restaurants.
Kerala’s newly elected Left Democratic Front government today imposed 14.5 per cent tax on branded restaurants that will be selling items like tacos, pizzas, burgers, sandwiches, among others. The announcement was made by state finance minister Thomas Isaac State Budget presentation after being elected to power.
The move is expected to have a drastic affect on multi-national fast food chains like McDonalds, Pizza Hut, KFC etc.
The idea behind the imposition of the fat tax is to control the consumption of junk food among people and has been a matter of global debate for a long time. Countries like Denmark and Hungary even implemented it, however Denmark scrapped it later.
Along with the ‘Fat Tax’ the state government has also imposed 5 percent tax on wheat products in packets, 5 percent tax has been imposed on packaged basmati rice and coconut oil and a whopping 20 percent tax on disposable glasses made out of plastic.
Last year, the Congress-led government in the state had introduced a policy that will make Kerala alcohol-free within 10 years. To implement this hundreds of bars have already been shut down, though five-star hotels are exempt for now.
