Processed or not, sugar is only turned to fat in the body if it is 1) fructose, or 2) more than what you need. Every cell in our bodies can store sugar in the form of glycogen. If our glycogen stores are low, any consumed sources of sugar will be enzymatically broken down, the fructose converted in our liver, and the glucose converted to glycogen and circulated in our blood to replenish the rest of our stores. Then after this process the excess will be converted to fat.

As for fatty acids themselves, they generally go to our muscles first if needed, and then the rest fills our fat cells.