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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 m
by DougN7 3y ago
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??)
- lawrenci 3y agoMy 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.
- aqme28 3y ago> 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.
- LynxInLA 3y agoTypically, 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.