Marijuana Taxes Too High

State Taxes Tax Tokers

June 12, 2018 - 4:42 pm

JUNEAU, Alaska (AP) — Alaska's legal marijuana industry wants the state to change the way it taxes pot.

    The regulatory Marijuana Control Board plans to discuss tax and supply issues during a meeting Wednesday in Anchorage. 

    Growers say the tax is squeezing their profit margins, and some complain that it keeps prices artificially high. It comes as other legal pot states have struggled with marijuana taxes.

    In California, licensed pot businesses are blaming combined state and local tax rates that can approach 50 percent for driving sales back into the black market. Some lawmakers are proposing a temporary tax cut.

    Washington state lawmakers, prompted by industry, scrapped a three-tier tax structure in 2015 and replaced it with a single excise tax at the point of sale. 


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