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That tax really isn't that high. From what I understand pot is expensive in California. When you read about prices at these medical marijuana dispensaries you see that people are often paying $20 or $30 a gram. That tax would amount to less than $2 a gram. I don't think this legislation has any chance of passing, but if production and sales of marijuana were regulated wholesale costs would drop through the floor. If farmers could grow it on large farms using modern agricultural methods, mechanizing as much as possible and finding uses for the whole plant and not just the buds production costs would plummet. Take away the risk of seizure and arrest and the high costs associated with having so many middlemen who want a hefty profit to justify their risk and wholesale costs would plummet further. There is no reason marijuana should cost hundreds or even thousands of dollars a pound. It is that expensive because it is illegal. When it finally is legalized producers will be competing on price, implementing cost cutting measures and fine tuning their systems until it is super cheap. The only way we'll be able to keep retail costs anywhere close to what they are today is through taxes and excises. The first year I would think it would not be a good idea to go higher than normal sales taxes, but after that prices are going to go down every year until producers have their systems totally dialed in and there will be lots of room for more taxes.