Appeals court upholds Philadelphia's tax on sweetened drinks - WFMJ.com News weather sports for Youngstown-Warren Ohio

Appeals court upholds Philadelphia's tax on sweetened drinks

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PHILADELPHIA (AP) - An appeals court is upholding Philadelphia's 1.5-cent-per-ounce tax on sweetened beverages, saying it doesn't duplicate the state sales tax.

The Commonwealth Court's 5-to-2 decision Wednesday backed a decision by a city judge in December.

The court majority says the beverage tax, imposed on distributors, doesn't hit the same subject or people as the sales tax.

The two-judge dissent says the ordinance that allows the beverage tax duplicates the sales tax because it can only be imposed "in relation to the retail sale of sugar-sweetened beverages."

If fully passed onto consumers, the tax is $1.44 on a six-pack of 16-ounce bottles.

City officials say the tax has brought in more than $25 million since taking effect in January but will likely fall short of projected revenues this year.

Copyright 2017 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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