By Richard Halstead / Marin Independent Journal
Marin’s representative in the state Senate has introduced a bill that would place a 15 percent tax on medical marijuana.
“The impacts of this multibillion dollar industry have been significant, particularly in Northern California,” said Sen. Mike McGuire, D-Healdsburg. “That is why we are advancing a common sense tax that mimics the leading recreational marijuana initiative that would be focused on local law enforcement programs, neighborhood improvement programs, drug and alcohol treatment, state parks and environmental rehabilitation.”
A 15 percent tax is also part of one of the leading proposals for legalizing recreational cannabis, which is expected to be on the November ballot. Last year, McGuire’s SB 643, a three-bill package that sets the stage for regulation of every aspect of the medical marijuana industry by Jan. 1, 2018, was adopted into law.
Many medical marijuana dispensaries already pay sales tax. The state Board of Equalization reported that in 2014 the 1,623 medical marijuana dispensaries registered with the state reported $570 million in taxable income, which amounted to $49.5 million in tax due to the state.
Marin County’s assessor-recorder, Rich Benson, said he couldn’t estimate Marin’s share of that revenue. McGuire estimates his additional tax would generate $100 million annually.
Thirty percent of revenue generated by SB 987, the Marijuana Value Tax Act, would be distributed in grants to city and county agencies overseeing the cultivation, processing, manufacturing, distributing and sale of medical marijuana. Another 30 percent would go to the state’s general fund. ..Read more