CHICAGO – A proposed penny-an-ounce “fat tax” on sugary soft drinks is being called into serious question by more than 1,000 small- and medium-sized businesses in Chicago, reports the Sun-Times.

The news source writes that Sam Toia, president and CEO of the Illinois Restaurant Association, denounced the sugar tax, calling it regressive and equivalent to “triple jeopardy.” Chicago already imposes two taxes on soft drinks: a 9% fountain tax on syrup and a 3% tax on cans and bottles of soft drinks. The penny-an-ounce tax proposed by Alderman George Cardenas would be the third tax, applying to syrup and powders as well as canned and bottled drinks, including juices, teas and sodas.

“Adding a third tax on these products will have disastrous, unintended consequences, including higher prices at neighborhood grocery stores and job losses across several industries,” Toia said in a press release.

The new business group, Chicago Coalition Against Beverage Taxes, says on its website that a penny-per-ounce might not seem like much, but it adds up. A 12-pack of soda will cost $1.44 extra. And with an active tax threat in Springfield, Illinois, on top of the current tax threat in Chicago, Chicagoans would be paying an extra $2.88 per 12-pack.

According to the Sun-Times, Illinois Beverage Association Executive Director Jim Soreng said that both West Virginia and Arkansas already have an “excise tax on soft drinks” and still rank among the 10 most obese states, while Colorado and Vermont have no sugar tax and rank among the leanest states.

“Taxing soda won’t end obesity. We believe that it comes down to nutritional education, balancing calories from all sources and activity,” Soreng told the news source.