NOTICE: Elimination of Sugar Sweetened Beverage Tax
As announced in the House of Assembly on May 12, 2025, the Government of Newfoundland and Labrador is moving forward with the elimination of the Sugar Sweetened Beverage Tax (SSBT). Amendments have been made to the Revenue Administration Regulations to effectively eliminate SSBT, with an effective date of July 1, 2025.
As of 12:01 a.m. on July 1, 2025:
- Wholesalers and retailers of sugar sweetened beverage products should cease to charge SSBT on these products.
- Retailers should also record their inventory of sugar sweetened beverage products at that time and may apply for a refund of any SSBT paid on those inventories.
Retailer Refunds
- In applying for a refund, sugar sweetened beverage retailers should complete and submit the following forms:
- Retailer Registration Form
- Supplier Form
- Retailer Refund Application (to be submitted after July 1, 2025)
- To expedite the processing of refunds, retailers may submit the “Retailer Registration Form” and “Supplier Form” prior to July 1, 2025.
For further information pertaining to this matter, please contact the Tax Administration Division at 1-877-729-6376 or taxadmin@gov.nl.ca
NOTE TO RETAILERS
Similar to how gasoline and tobacco taxes are collected, the sugar sweetened beverage tax is collected at the wholesale level. The only retailers who would have to remit taxes directly to the Provincial Government are those retailers who purchase from non-registered wholesalers or businesses located outside the province. Guidance for retailers on this, as well as on pricing structure is available here: Information Circular Sugar Sweetened Beverage Tax
Retailers requiring additional support can call 1-877-729-6376 or email taxadmin@gov.nl.ca.
The sugar sweetened beverage tax is an initiative that supports the health and wellness of the residents of the province. Sugar sweetened beverages are a major source of sugar in the diet, and the excess consumption of sugar is associated with certain chronic diseases such as type 2 diabetes. The focus of this initiative is to encourage residents of the province to choose beverages without the added sugar. Encouraging better beverage choices and placing greater emphasis on healthy living is central to achieving better health outcomes.
Effective 12:01 A.M. September 1, 2022, a person who acquires a sugar-sweetened beverage at a retail sale in the province or brings sugar sweetened beverages into the province, as a consumer, must pay sales tax at the rates prescribed as follows:
| SUGAR SWEETENED BEVERAGE TYPES | TAX RATE |
|
Ready-to-Drink Beverages and Dispensed Beverages These include ready-to-drink beverages to which the manufacturer has added sugar such as regular soft-drinks, sweetened fruit-flavoured juices, sweetened iced-tea and lemonades, sweetened sports and energy drinks, and dispensed beverages such as sweetened soda fountain drinks, slush drinks and fruit juices. |
$0.20 per litre |
| Concentrated Drink Mixtures
These include frozen concentrated sweetened fruit punches, sweetened flavoured drink crystals and powders, and flavoured syrups to which the manufacturer has added sugar. These also include concentrates used to produce dispensed beverages (e.g. post-mix). |
Where the manufacturer provides directions for finished beverage preparation and/or volume:
$0.20 per litre, of beverage that can be produced in accordance with the manufacturer’s directions. |
| Where the manufacturer does not provide sufficient directions for finished beverage preparation and/or volume:
$0.80 per litre for frozen concentrated juices, |
Information Circular (RAA-SSB-2025-02-21)
Registered Sugar Sweetened Beverage Wholesalers
Sugar Sweetened Beverage Wholesaler/Retailer Registration Form
Sugar Sweetened Beverage Retailer Tax Return This return is only required from retailers who purchase/acquire sugar sweetened beverage products from non-registered wholesalers/ businesses who are located outside of the province
Sugar Sweetened Beverage Wholesaler Tax Return
For a copy of the related amendments to the Revenue Administration Tax Act and Regulations please utilize the following links:
Revenue Administration Tax Act
Revenue Administration Regulations
For further information, please contact
Department of Finance
Tax Administration Division
Phone Toll Free: 1-877-729-6376
Phone: (709) 729-6297
Fax: (709) 729-2856
Email: taxadmin@gov.nl.ca
Mail: Confederation Building, P. O. Box 8700, St. John’s, NL A1B 4J6