Adult-Use Cannabis Delivers $15B in Tax Revenues

Re:Adult-Use Cannabis Delivers $15B in Tax Revenues by DougN7 on Tuesday May 02, 2023 @11:34AM (#35789170)

It’s probably not a net gain though (I guess?). Money not spent on weed would probably be spent on something else and taxed, unless we’re assuming nearly all money spent on legal weed would have been spent on illegal weed (maybe true??)

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Re:Adult-Use Cannabis Delivers $15B in Tax Revenues by lawrenci on Tuesday May 02, 2023 @12:17PM (#35789911)

My state (Oregon) has no sales tax, but does have a 20% tax on recreational cannabis, so in our case the cannabis tax revenue would be a net gain for the state.

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Re:Adult-Use Cannabis Delivers $15B in Tax Revenues by aqme28 on Tuesday May 02, 2023 @12:30PM (#35790105)

> It’s probably not a net gain though

Relative to what? If weed was still illegal and untaxed, there are additional policing costs not taken into account here. If you mean relative to a world where nobody wanted to do drugs, then sure, but that's fantasy.

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Re:Adult-Use Cannabis Delivers $15B in Tax Revenues by LynxInLA on Tuesday May 02, 2023 @01:21PM (#35791018)

Typically, tax rates are much higher on cannabis than regular sales tax. In many states, it is even taxed twice; once when the retailer purchases it from a distributor, and again when the consumer purchases it from the retailer. Some laws have changed, but, in prior years, this could lead to an effective tax rate of around 40% in states like California.

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