The project in five facts.
Challenge, approach and results.
The diploma thesis entitled How do taxes affect the economy? – the case of the increase in tax on sugary drinks in Slovenia examines the role of taxes as an instrument of public finance, with emphasis on the economic, health and social effects of introducing a tax on sugary drinks. The measure, which came into force on 1 January 2025 with an increase in VAT from 9.5% to 22% for beverages with added sugar or sweeteners, has sparked debates about its impact on consumption, producers, the budget and public health. The methodology includes analysis of public data, a case study, comparative analysis and empirical research using a questionnaire (102 respondents). The findings show that the Slovenian tax system is aligned with European standards.
Problem
The diploma thesis entitled How do taxes affect the economy? – the case of the increase in tax on sugary drinks in Slovenia examines the role of taxes as an instrument of public finance, with emphasis on the economic, health and social effects of introducing a tax on sugary drinks. The measure, which came into force on 1 January 2025 with an increase in VAT from 9.5% to 22% for beverages with added sugar or sweeteners, has sparked debates about its impact on consumption, producers, the budget and public health. The research objectives include clarifying the importance of taxes in Slovenia, reviewing the historical and legal framework of taxation, analysing the introduction of the tax at home and abroad (e.g.
the United Kingdom) and assessing its effects. Four hypotheses were formulated: (1) the historical development of taxes is linked to economic development (the case of Estonia), (2) the tax affects sales volume, (3) companies adopt strategies to manage costs, (4) the tax affects the reallocation of human resources in the food industry.
Solution and method
The methodology includes analysis of public data, a case study, comparative analysis and empirical research using a questionnaire (102 respondents).
Results
The findings show that the Slovenian tax system is aligned with European standards. The tax is poorly received among consumers – the majority perceive a price increase, but only a minority reduce consumption, which indicates a limited behavioural and health effect. Companies report a minimal impact on sales, but are adapting by raising prices, changing packaging and developing healthy alternatives.
The comparison with Estonia confirms the link between tax policy and economic development. The conclusion emphasises that the measure does not fully achieve public health objectives and is primarily fiscally oriented. There is a lack of trust in the earmarked use of funds, which indicates a need for greater transparency and better communication by the state.
For greater effectiveness, it would be sensible to introduce complementary measures, such as awareness-raising, incentives for product reformulation and public reporting on the use of tax revenues. As this is a relatively new measure, it would be advisable to repeat the survey in a few years' time in order to obtain more realistic and long-term data on its effects.
Module, programme and stories.
Your diploma project for a real company.
A diploma thesis at Academia solves a challenge from a company – often the one where you do your 800 hours of placement. Read about the Računovodstvo module or book a consultation.