Philly 'Soda Tax' Upheld By State Supreme Court

PHILADELPHIA – In a blow to opponents of Philadelphia's sugary beverage tax, the Pennsylvania Supreme Court ruled Wednesday that the tax is constitutional.

The ruling came with a 4 to 2 majority vote Wednesday.

"I am grateful to the Justices of the Pennsylvania Supreme Court for their fair and careful review of this case," Mayor Jim Kenney said on the heels of the ruling. "We maintained from the day we proposed the tax that it stood on solid legal footing, and the Justices, like two courts before them, agreed. Beyond the legal resolution, today’s decisive ruling offers renewed hope for tens of thousands of Philadelphia children and families who struggle for better lives in the face of rampant poverty."

The funds generated from the tax are used to support a stronger education system in the city.

The suit was filed by businesses who sell sugary drinks and the beverage industry, who claim the tax was unconstitutional because of the preexisting sales tax.

"Once and for all, it is now beyond question that the Philadelphia Beverage Tax is not duplicative of the state retail sales tax," Philadelphia Solicitor Marcel Pratt said. "I am thankful to the Pennsylvania Supreme Court for its careful consideration of this matter. We are now at the point where we can move forward with the programs that this tax funds with full assurance that the Commonwealth’s highest Court has agreed with the City’s position."

A 1.5 cent per ounce tax is imposed on sugary beverages with the tax.

In 2017, the tax raised just about $79 million.

Philadelphia Council President Darrell L. Clarke said while he is empathetic to those affected by the tax, he said "healthy, educated kids and inviting public spaces will ultimately benefit us all."

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