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Old 07-21-2009, 01:07 AM
NotThe1 NotThe1 is offline
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Default Chronic City: To Tax Pot, Or Not? Oakland Votes Tuesday


Chronic City: To Tax Pot, Or Not? Oakland Votes Tuesday
Mail-in voting closes Tuesday on Measure F, a new ordinance in Oakland which would impose a special tax on sales of medical marijuana in the city’s dispensaries. The measure would make Oakland the first city in the United States to have a business tax category for marijuana merchants.
Dispensaries have already been paying a rate of $1.20 per $1,000 of gross receipts. Measure F would create a separate category for marijuana sellers, at a rate of $18 per $1,000 of sales. Sales taxes is already assessed on purchases.
Many activists see the proposed ordinance as an incremental step toward complete legalization. After all, once government bean counters associate the marijuana business with a positive revenue stream, they’re likely going to think in much more favorable terms about the herb — and be a lot less inclined to crack down on dispensaries.

The ordinance would create a new business tax category in Oakland for legal marijuana merchants (of which Oakland currently has only four), and would likely bring the cash-strapped city hundreds of thousands of dollars a year in additional revenue. Oakland City Auditor Courtney Ruby estimates initial revenues from the proposed ordinance at $294,000 annually.
Chronic City: To Tax Pot, Or Not? Oakland Votes Tuesday | War On You: Breaking Alternative News


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