Canada Collected Over $5.4B in Cannabis Taxes Since Legalization

Ottawa and the provinces raked in more than $5.4 billion in cannabis tax revenue since the drug was legalized for recreational use in October 2018.

The federal government collected $1.2 billion, with the remaining $4.2 billion going to provincial coffers.

Ontario took in the greatest provincial share of revenue — $1.5 billion — with Alberta coming in second at just over $1 billion, despite having less than a third of Ontario’s population.

Alberta collected the most per capita tax revenue of any province since recreational cannabis was legalized, pulling in about $210 per person.

The province easily surpassed its nearest rival the Northwest Territories, which collected $135.80 per person. They are followed by the Yukon at $126.35, Saskatchewan at $121.55 and Newfoundland and Labrador at $113.65.

Quebec has the lowest per capita share of recreational cannabis tax revenue, at just $55.31 per person since October 2018.

The information comes in an answer to a House of Commons order paper question from Quebec Conservative MP Luc Berthold, who asked for a breakdown of cannabis tax revenue and spending on associated prevention programs.

Revenue below projections

Federal tax revenue does fall short of the government’s original projects. In the 2018-19 budget, the government expected to see $690 million over the first five years of recreational legalization. Ottawa collected about $567 million by the end of the 2022-23 fiscal year.

Cannabis education spending is well below the original projection. The 2018-19 budget projected $83 million in spending over five years. However, Health Canada reports it spent about $21.6 million on education and prevention programs since recreational cannabis use was legalized.

More than half of that — $13 million — was spent in the 2018-19 fiscal year alone.

Read the full article at CBC News

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