The ban applies to containers larger than 16 ounces in restaurants and other venues.
The move is meant to combat obesity and encourage residents to live healthier lifestyles.
But it's expected to draw protest from the soda industry and those concerned about government involvement in their personal choices.
Critics, including McDonald's and Coca-Cola, have assailed the ban as "misguided" and "arbitrary."
New York Mayor Michael Bloomberg has billed it as both a health and fiscal initiative.
He says the city spends an estimated $4 billion a year on medical care for overweight people.
The ban does not apply to grocery stores.