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In Düsseldorf, consumers in Germany may soon be paying significantly more for a twelve-liter box of classic cola, potentially over five euros extra, due to the planned tax on sugary drinks. This information was first reported by the Handelsblatt on Wednesday, but unexpectedly, the Federal Chancellery halted the proposal put forward by Finance Minister Lars Klingbeil (SPD) on Thursday.
The proposal's foundation, according to the Handelsblatt, was the suggestion from the Financial Commission on Health. However, the Finance Ministry's version of the tax differed, and it became incompatible with the government's majority. Earlier, the Finance Ministry had softened the tax, excluding zero-sugar drinks, plant-based milk, unsweetened juices, and tonic water, as well as non-alcoholic beers and wines.
Despite this adjustment, producers of lemonades, ice tea, and energy drinks strongly criticized the proposed legislation. The tax was intended to bring the government an annual revenue of 1.2 billion euros – surpassing the 450 million euros suggested by the Financial Commission. Moreover, it was supposed to reduce healthcare costs of 3.5 billion euros caused by the consumption of over-sweetened beverages.
Written by urgent.news from Handelsblatt's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.