SAN DIEGO (Border Report) — Mexico’s Secretariat of Finance and Public Credit is proposing an added tax on food items considered unhealthy as a way to lower consumption of junk food, processed foods and fast food as well as the use of tobacco products.
The Mexican government believes the measure will also raise about 140 billion pesos or about $757 million in revenue every year.
This “healthy tax” will be placed on items such as sodas, juices and energy drinks.
“The money raised will be applied directly to health programs,” Mexican President Claudia Sheinbaum said during her daily news conference on Tuesday. “We know these drinks provoke health issues. This is all about health.”
Another duty will be applied to tobacco products, which are already taxed heavily.
The new levy on tobacco will gradually increase by 200 percent through the year 2030.
Mexico is also considering an 8 percent tax on digital services and video games that contain violent images or sequences.
Online gaming and bets might also see a tax increase in the coming years, according to the Mexican government.
Sheinbaum says the taxes are meant to encourage healthier lifestyles.
According to the health secretary, 76 percent of the adult population in Mexico is overweight and suffers from illnesses such as diabetes, cancer and heart issues.
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