A proposed 18 percent sales tax on soft drinks and beverages has been eliminated from Gov. Paterson’s 2009-10 Executive Budget.
It is part of an agreement announced Wednesday by Paterson, Senate Majority Leader Malcolm Smith and Assembly Speaker to eliminate $1.3 billion in tax increases.
Under the provision, the new tax would have applied to fruit drinks that contain less than 70 percent natural fruit juice and non-diet soft drinks and beverages.
Earlier it was estimated the tax on sugary sodas and juice drinks would have reduced obesity while raising some $400 million a year for health programs.
The Albany agreement was reached after it was confirmed that federal funds would be available through aid from the American Reinvestment and Recovery Act (ARRA) that could provide New Yorkers with $6.5 billion in fiscal relief through the end of 2010. That includes $5 billion in flexible funding throughu increased Medicaid reimbursements, $1.2 billion to restore education reductions and $274 million in other flexible funding.
“Soft drinks are a small part of our business but that tax would certainly have impacted it,” said Charlie LoTempio, co-owner of Twin-Lo Beverage Mart Inc., Porter Road in the Town of Niagara.
LoTempio noted that independent retailers have generally lost the edge to the superstores on such goods. One of those giant stores offered specials that included three 12-packs of soft drinks for about $10.
“In the end it’s the consumer who is most affected,” LoTempio added, “It’s the person pushing that cart full of soft drinks who would feel the impact of an 18 percent tax.”
Local News
ALBANY: Soda tax fizzles
Twin-Lo co-owner sounds off on proposed measure
- Local News
-
-
Legislation protecting Falls air base units moves forward
The effort to protect jobs at the Niagara Falls Air Reserve Station got a boost from a committee in Washington, D.C. on Thursday.
-
Korean student robbed at gunpoint in Falls
Detectives are investigating the robbery of a 25-year-old woman Wednesday night in front of a motel in the 400 block of Main Street.
-
Davis will not seek Murphy removal
Lawyers for accused killer Matthew “Bones” Davis say their client will not ask to have Niagara County Court Judge Matthew J. Murphy III removed from his case.
-
Labor group laments economic development efforts
Economic development in New York state has become a joke to some in the area. And many of them are demanding changes to a process which spends approximately $3 billion a year.
-
Repaving work on Old Military Road rises to $790K
Sometimes a change is good. Sometimes a change is bad. For the Town of Lewiston, a change can be pretty costly.
-
Fifth-grader presents list of 400 names asking for new playground
A 10-year-old boy carrying a petition containing more than 400 signatures asked members of the Niagara Falls School Board on Thursday to consider building a new playground at his school.
-
Bomb threat leads to arrest at NT school
A North Tonawanda teen was arrested Thursday morning for sending a one-sentence bomb threat to the computer of a fellow high school student, resulting in a brief lockdown of the school.
- Sense of resignation on AES pact
-
Marching to the new veterans memorial
It's the unofficial beginning of summer.
Memorial Day may mean cookouts with hot dogs and hamburgers, a trip on the river in a boat or simply a day off from work Monday.
-
Fugitive in meth case caught
Moments after Falls police narcotics detectives and U.S. Drug Enforcement Administration agents uncovered a clandestine meth lab in the city's Echota neightborhood, their prime suspect sent a cryptic text message to Detective Joe Palmero.
- More Local News Headlines
-


