TO AMEND THE ARKANSAS SOFT DRINK TAX ACT, AS AFFIRMED BY REFERRED ACT 1 OF 1994; AND TO PHASE OUT THE SOFT DRINK TAX BASED ON SALES TAX COLLECTIONS FROM SALES OF SOFT DRINKS.

HB 1636 would phase out Arkansas' soft drink tax by gradually eliminating it based on sales tax collections from soft drink sales. The bill proposed replacing the current tax with a system tied directly to existing sales tax data, ensuring a smooth transition. This change would directly affect soft drink retailers (who collect the tax) and consumers (who pay it). The legislation aimed to replace an outdated tax structure with one aligned to current sales tax reporting practices.