it taxed sugar and decreased taxes on molasses in british colonies in america and the west indies. this restricted smuggling. it was also a use of mercantilism. it was one of the first taxes that led to protests in the thirteen colonies. the sugar and stamp acts were done away with in 1766. the sugar act was a terrible for the colonial economy. some people even went as far as to make attempts on the king’s life because they hated the act so much. most people in 1764, said the british government was borderline insane to enforce this law.