University Dining will be required to tax sugared drinks, possibly including N.C. State’s own chocolate milk, if the legislature passes a law requiring tax on sugar-sweetened beverages.
According to Director of Dining Services Randy Lait, it is really too early to determine exactly how Dining will go about the taxing and it depends on whether it will be an excise tax or a sales tax.
“If they do an excise tax then the product is already taxed when it comes in the door and you don’t do anything as a retailer,” Lait said.
Lait said the University is required to follow any law that legislation passes on sales tax and the University will follow the new plan where applicable.
According to Lait, raised prices on campus will be determined by whether an item is sold individually or if a student is dining in a dining hall.
For dining hall patrons, if the tax passes through legislature it may be added to the cost of a meal plan, rather than on individual items. The tax would be imposed on items sold individually in C-Stores.
Lait, a soft drink consumer, was interested in the idea that government put sugary drinks in the same category as alcohol and cigarettes, often categorized as sins.
“That was something that struck me, that soft drinks become a sin grouped with alcohol and cigarettes,” Lait said. “What’s next? French fries? Pizza?”
Molly Wilkins, a junior majoring in philosophy, said she was torn about the idea of the tax.
“I don’t support the idea of raising taxes, necessarily, but I support the idea of adding it because it reduces the health risk that soft drinks pose,” Wilkins said.
Lait said Dining will follow the law that legislation ultimately passes concerning the taxes on sugary drinks. Dining will add the tax to the registers if the tax becomes part of federal regulations.
“We will start collecting that tax from the students and let the government do with it whatever they have decided to use it for,” Lait said.
Charlie Simpson, a junior in accounting, is all for the plan if it will help out with the economy.
“If taxing one cent per ounce on sugary drinks can help pay for health care, then I’m all for it,” Simpson said. “It could be a great idea to help the economy.”