Posted on 01/30/2023 1:38:06 PM PST by algore
A marijuana brand bearing the name of one of the world's most famous stoners has pulled out of California as the state's cannabis taxes gut legal operations and allow the black market to thrive.
Garcia Hand Picked - founded by the relatives of Grateful Dead guitarist Jerry Garcia - removed its products and operations from California as the state's laws coupled with Federal taxes have left legitimate producers paying as much as 80 percent in taxes.
As businesses jump through hurdles to produce and sell marijuana, black market operations and illegal farms have managed to operate without legal barriers and undercut the efforts of legitimate markets.
The pullout of Garcia Hand Picked comes as experts have predicted scores of marijuana businesses could go bust in California as years of operating at losses to keep ahead of regulations comes to a head.
California legalized the production and sale of cannabis in 2016, but since then the path to profit has been crossed with regulatory red tape.
Required retail licenses can cost up to $100,000 per year to hold, and businesses are taxed up to 25 percent per retail sale.
Federal laws also prevent companies from deducting business taxes from federal taxes, leading to exorbitant taxes paid across the board.
From 2017 to 2022, California also charged a cultivation tax billing farmers by the square footage of their farms instead of the actual yield of their product, which allowed large corporate farms to thrive gutted small producers.
Since cannabis was legalized in California, the state has collected at least $4billion, according to Marijuana Moment.
(Excerpt) Read more at dailymail.co.uk ...
Get your Tax Boots off our Necks, or something ?
Capitalism squashed by governments boot all wrapped up in one headline.
That I what they get for blindly supporting Democrats.
Their exalted leftard politicians giveth and then taketh away. Got what they voted for albeit fooled again by their own.
I'm shocked to hear that Jerry Garcia used to smoke weed. Next thing you know somebody will be accusing Willie Nelson...
I hope they all fail and go out of business and we can restore some sanity to our country. Too many people ruining their lives with pot and other drugs. Very sad and predictable.
That’s why people are growing their own now. You go from paying $70 for an 8th to having a garbage bag full of bud.
There’s a limit to how much you can tax and regulate the cultivation of a weed that anyone can grow in their living room or back yard.
Well you big dummy, that was the intent all the time ...80% tax and you were the gov’t’s slave.
These fools never learn. I guess they never read the fable about the goose that laid golden eggs.
Leave it to California to screw up legal weed.
I just knew California was gonna screw up the legal market with over regulation and taxes, causing people to continue buying it on the black market at a cheaper price. I mean duh, it’s easy to grow too.
This has something to do with the sudden rash of shootings out there as well.
They bragged about taxing Marijuana and how good it would be for the economy.
They got what they wished for!
People get a license to buy for medicinal purposes and/or the government decriminalizes mary-jane and people will get their drugs from the cheapest market place (illegal growers)...this is called CAPITALISM!!
DING! DING! DING!
We have a winner!!
Gosh Bill I know...next we’ll find out hunter S thompson was into drugs...who knew..:)
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