The Nutella Tax

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If you’re like me, part of the appeal of traveling and visiting new places is the FOOD. And vacationing in Europe is expensive enough as it is, but by the time I get a chance to visit, all I’m going to be able to afford to eat is baguettes and water.

The latest food item on the chopping block in Europe is palm oil — a critical ingredient in France’s beloved Nutella. If you haven’t tried it, Nutella is a sweet, chocolatey hazelnut spread that is produced in Italy but consumed primarily in France. The so-called “Nutella Tax,” if approved, would result in a quadrupling of the tax on Nutella and other products containing palm oil. The Nutella company has vowed not to change the ingredients, so the increased cost of production would no doubt have to be passed on to consumers. What the world needs now is tax relief, not nitpicky sin taxes that do little to change behavior!

My tax attorney alter ego in France is blogging right now about how his next trip to the States won’t be the same if he can’t pick up a package of Twinkies while he’s here.