Do you loose a lot of sleep over the fact that the government is doing this today with, for example, alcohol? Alcohol is an insanely destructive drug. It decimates families, relationships, careers, lives, etc. No one at all seems to say the government need to "stop profiting off the taxes". It frankly never comes up. Sure we talk a lot about how to help those who reach the stages of addiction, but there's never guilt over the tax revenue.
I'm asking you to honestly think why this is any different.
https://en.wikipedia.org/wiki/Tobacco_Master_Settlement_Agre...
personally, I accept grudgingly that tax dollars may be necessary to "sweeten the pot" of legalization for people who are otherwise opposed or apathetic towards it. ideally, the tax would go directly towards funding rehab for those who want it and be revenue neutral overall, but let's not let the perfect be the enemy of the good.
Not OP, but yes.
I'm in favor of just legalizing/decriminalizing it all. For drugs that are highly addictive, like heroin and meth, instead of the government selling them or taxing them, taxes from the less addictive substances could be used in part to fund treatment and recovery programs.
MDMA does have a lot more potential for physiological harm (including brain damage and death) than cannabis despite being much less addictive, so that may need to be in an in-between category that's focused more on prosecuting people selling impure products, and education (imagine FDA warnings and advice on every MDMA tablet), without most of the addiction recovery aspects.
Perhaps that's not a fair comparison because the way legalization has been going, at least in the U.S. looks like a cross between tobacco and gambling. Taxing tobacco feels like the more correct metaphor, but I'm not sure why.
What I'm seeing is that the high taxes, combined with a boundary to a neighbouring country with much lower taxes, is creating an extra financial incentive for crime that wasn't there. It suddenly created a situation where there's big money to be made in smuggling, and a strong pressure for corruption for various officials (customs, local police, administrative officials, municipalities, judges) funded by that money, and for violent crime (e.g. murdering honest officials that refuse to be bribed) funded by cigarette smuggling. In some sense it's comparable to the drug organized crime, because the market for 'gray' tobacco is comparable to drugs; while the customers pay much less, there are many more customers. And any black market has all kinds of negative side-effects on society simply by existing, as it adds incentives for bribery and corruption, and it funds people and organizations who naturally extend to other crimes - just like prohibition funded the rise of mob in USA.
So I'm worrying that the expected benefits of legalization are (in part) reliant on users moving from black market to legal means; however, in a legalized but heavily taxed environment many (most?) users would still prefer to keep their illegal dealers (because their product is affordable) and the expected decrease in crime and violence would not materialize because of that.
It's more profitable to just start a legal operation instead.
OTOH countries where a particular drug is illegal will feel a significant pressure if in a large neighboring country the same substance is legal. This.hopefully would provide both an example and an incentive to at least decriminalize the substance, too.
It's getting better now, but mostly because cigarettes as such are being undercut by vaping that's cheaper.
What you are talking about: country A has a legal and low tax market, while country B has a heavily taxed but legal market.
Apples and oranges fail to compare.
Full legalization is not the correct path, full decriminalization, subjective taxing, quality assessment and proper counseling and support is.
We don't put people in jail because they drink (impairs the mind). We don't put people in jail because they ski (can kill people instantly). Putting someone in jail is the worst thing a state does to an individual, and an answer of "because we're not sure what will happen if we don't" isn't appropriate.
Read Legalize This: The Case for Decriminalizing Drugs (Practical Ethics Series) by Doug Husak
https://www.amazon.com/Legalize-This-Decriminalizing-Practic...
Most of these taxes are called sin taxes, and are higher because of a value judgement the government is making... and should not be making.
Drug legalization is about harm reduction for those already addicted. It makes it possible for them to get help for actual problems. Also it makes it less attractive to younger people as it's no longer recognized as "rebelling". AND it cuts off the flow of money to organized crime!
Portugal. Look into the drug situation in Portugal.
Incentivizing the legalization of drugs (or any vice for that matter) through tax structures makes me uncomfortable. I worry that it creates a positive feedback loop where the government generates tax revenue off it’s population’s addictions. Under this, it seems that effectively treating addiction is a double loss for the gov. It cost tax money to treat addiction, and the addicts were generating taxes.
I watch what legalized gambling in Illinois is doing. Those video poker machines at local restaurants are destroying lives. But with the current tax structure, the _state_ is the addict because it is dependent on the taxes those machines are generating.