Posted on 11/23/2019 5:30:27 PM PST by Olog-hai
California is increasing business tax rates on legal marijuana, a move that stunned struggling companies that have been pleading with the state to do just the opposite.
Hefty marijuana taxes that can approach 50 percent in some communities have been blamed for pushing shoppers into California’s tax-free illegal market, which is thriving. Industry analysts estimate that $3 are spent in the illegal market for every $1 in the legal one.
The California Cannabis Industry Association said in a statement that its members are “stunned and outraged.”
The group said the higher taxes that will take effect Jan. 1 will make it even worse for a legal industry struggling under the weight of heavy regulation and fees, local bans on pot sales and growing and a booming underground marketplace. …
(Excerpt) Read more at apnews.com ...
Idiocy.
I wonder if Cal dope smokers will turn the state Republican LOL!
Hoe it, grow it, mow it.
Cracks me up. Milton Freedman could have predicted this. Paul Krugman? Surprised.
So that state is getting greedy, just as planned. It’s always about control and money, but not necessarily in that order.
Once government gets addicted to taxes on drugs, how long before government becomes a pusher?
I was in Cal decades ago and the illegal harvest was a big deal.
Bet politicians make more in donations from protecting the illegal sales than they ever could from legal sales.
And this protects illegal sales.
What a country, what a state.
This has more to do with political donations than economics IMO.
Surprise! Not.
Wasn’t that the #1 argument for legalization in the first place? “ Legalize it. Then tax it”?
When the cartels speak, politicians listen.
This may be a dumb question, but why would any marijuana user buy marijuana?
I am not a user but it seems that something so easy to grow would be perfect to have at home.
I do not make the wine I drink, nor the scotch, but those are onerous to produce compared to growing a marijuana plant.
How much does an ounce of kick-ass dope go for these days on the free market?
Going to their Local Drug Dealer ,cheaper and no Tax ?
Just grow your own.
Problem solved
California has a $7,000,000,000 tax surplus.
Why do they need more tax money?
They should be handing out pot for free.
Wow. Never saw that coming.
L
A marijuana plant is never going to fill the bill.
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