The Trouble With Marijuana Taxation

I believe that all states will legalize marijuana in the next five years. There will be several proposals this year to legalize the stuff that made Cheech and Chong famous. Currently, 23 states and the District of Columbia have laws legalizing marijuana in some form. Most of them use the guise of medical necessity to allow their citizens to get high. The District of Columbia, Alaska, Oregon, Colorado, and Washington make no pretense — if you want to smoke a joint there, knock yourself out.

Arizona will probably have a legalization measure on the ballot in November 2016. Cannabists say that taxes on marijuana will raise $72 million a year, and they would like to give $40 million of that to schools. Everybody would be a winner: People can listen to Bob Marley and wander glassy-eyed around the desert, while local schools receive badly needed money without having to raise taxes. Purveyors of snack foods will reap windfalls as hungry potheads flood the convenience stores.

– Read the entire article at Forbes.