California ‘Pot Tax’ May be Reduced
People still buying their pot on the black market to avoid high tax
California Stupid strikes again!
The “genius level” politicians of California have done it again. Not understanding simple economics, the politicians put an additional 15% tax on “pot sales” alongside the regular high sales taxes in the state.
What happened? People continued to buy their pot on the black market.
Now, these same geniuses are getting a bit more realistic. They are considering reducing the Pot Tax.
From the LA Times:
Alarmed that California’s fledgling legal marijuana industry is being undercut by the black market, a group of lawmakers proposed Thursday to reduce state taxes for three years on growing and selling cannabis to allow licensed sellers to get on their feet.
With many California license holders claiming they can’t compete because of high state and local taxes, the new legislation would cut the state excise tax from 15% to 11% and suspend a cultivation tax that charges $148 per pound.
Including other California taxes and fees, the price of pot increased 45%.
CA voters approved the 15% tax when they voted for the initiative to legalize pot. So add them to the California Stupid Voter Rolls.
Does anyone really believe these changes will prompt put users to buy “legally”?
Only Californian politicians is my guess…