Michigan May See Millions in Revenue From Legal Marijuana
A fully developed legal market for medical marijuana in Michigan could lead to millions of dollars in new state tax revenue.
Exactly how much is open to interpretation, but some analysts’ estimates suggest it could top $63 million a year.
New regulations for the state’s medical marijuana industry, signed by Gov. Rick Snyder and taking effect in December (though a licensing system won’t be active until December 2017), will require a 3% excise tax on dispensaries’ gross sales receipts.
That could yield $21.3 million annually in revenue to the state, based on roughly 204,000 registered medical marijuana patients in the 2016 fiscal year, according to the Senate Fiscal Agency. The agency estimated Michigan’s medical marijuana market could exceed $711 million, should prices and customers’ buying habits mimic those in Colorado, which has a more established market today.
Additional revenue is expected if marijuana retail sales are subject to Michigan’s 6% sales...
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