OBJECTIVES: Obesity prevalence is increasing worldwide, a worrying trend as it relates to many diseases and imposes significant direct and indirect health care costs. The purpose of the present study was to assess the impact of taxation policies upon the consumption of Sugar Sweetened Beverages (SSBs) and High in Fat Sugar and Salt (HFSS) foods and ultimately caloric intake and weight outcomes. METHODS: The review identified relevant papers from web-based searches in comprehensive databases such as: Pubmed, Web-of-Science, Cochrane Library, Ag Econ, Econlit and National Agricultural library. Searching was conducted with all potential combinations of various relevant for the purposes of the study financial, nutritional, and outcome terms. Thereafter, abstracts were reviewed and studies were selected based on predefined criteria. The search included studies published from 1990 up to February of 2013 in English language. The characteristics and the results of the selected studies were extracted in a special form and consequently were reviewed and synthesized, based on the methodological design. RESULTS: A total of fifty five studies were finally included in the review. Several different types of studies showed a reduction in purchases and consumption of SSBs or HFSS foods when prices increase due or not due to taxation, but the subsequent effect upon total caloric intake was much smaller. A few studies which report weight outcomes, indicate that they are either insignificant or very small in magnitude to cause any public health improvements. CONCLUSIONS: The effectiveness of taxation policies to curb obesity levels is doubtful and the desired objectives not easily attainable, mainly because of the complex nature of consumer behavior and the impact of substitution effects, for which there is limited evidence to date. There is need to investigate in more depth the potential underlying mechanisms and the links between price increase policies, obesity and public health outcomes.