The plan recommended by the Legislative Analyst’s Office would nix existing taxes, including an across-the-board, 15% levy paid by consumers at the retail counter. They say it could be replaced with one based on potency or a tiered system, with different rates linked to potency or product types.
Here’s the full report as a pdf
cannabis-taxes-121719The plan was welcomed by the California Cannabis Industry Association, which said the recommendations mirror priorities the group’s members have been advocating for over three years, including removing weight-based taxes on cultivation.
“As California’s regulated market struggles against a thriving illicit industry, we believe that comprehensive tax reform will incentivize consumers to purchase regulated cannabis products, ease administration and compliance, and increase and stabilize revenues for the state,” the group said.
Read the full report: https://wtop.com/business-finance/2019/12/california-analysts-urge-marijuana-tax-based-on-potency/
