Marijuana tax hike: What it could mean for consumers, industry in Colorado
Cannabis consumers could be paying more Colorado marijuana tax come July 1. As with any proposed tax increase, the prospect has been met with some concern amid the news that one of the state's pot taxes would increase 50 percent.
At issue is a proposal floated this week by Colorado Gov. John Hickenlooper that would raise the special sales tax on recreational marijuana products to 12 percent on the date it was scheduled to drop to 8 percent from its current 10 percent.
Unaffected would be the 15 percent excise tax on cultivators, the 2.9 percent standard state sales tax and any local sales taxes.
"So the buyer won't be paying 50 percent more in (state) taxes," said Chris Stiffler, economist at the Colorado Fiscal Institute. "For example, on a $20 pack of edibles, you're probably talking about another dollar in taxes."
But what does this tax uptick mean when...
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