Table 3. Beverage taxation considerations.

Type of tax to apply	How tax is applied	Where tax is ‘presented' to consumer	Where in the distribution chain tax is collected	Types of beverages to tax	Could affect weight outcomes	Generates revenue that could be dedicated for obesity prevention programs
Excise	Specific (for example, 1 cent / ounce, 1 cent / teaspoon of added sugar, $/ liter) OR Ad valorem (for example, 20 per cent of price)	Shelf price	M, I, W, D, and/or R	SSBs, ASBs, or both	Depends on what beverages are taxed and whether SSB post-tax price is higher than the post-tax/final price for ASBs, 100 per cent juice, and water	Yes if sizeable tax (for example, 1 cent / ounce, 20 per cent of price); special fund could be established for dedicated tax revenues
Sales	Ad valorem	Point of purchase (register)	C	SSBs, ASBs, or both
VAT (including GST and HST)	Ad valorem	Shelf price	M, I, W, D, R, C (but ultimately paid for by consumer at the final point of sale)	SSBs, ASBs, or both

M=manufacturer, I=Importer, W=wholesaler, D=distributor, R=retailer, C=consumer.

Nonsales taxes include excise taxes as well as license/privilege fees/taxes.