lololol: terrible tax policies at work: tax MMJ @ 41%

Ns1

No Lifer
Jun 17, 2001
55,413
1,570
126
California Senator Ron Calderon (D-Montebello) wants to add a new tax medical cannabis in California. If adopted, SBX6 16 would tax legal medicine at the same rate as tobacco – forty one percent! ASA opposes this unreasonable burden on legal patients, who already pay sales tax on their medicine. Medical cannabis is expensive and usually not covered by insurance. ASA is calling on Senator Calderon’s colleagues on the Senate Revenue and Taxation Committee to reject SBX6 16 at a hearing on Wednesday, June 23.


ASA appreciates the state’s need for additional tax revenue during these tough economic times. A more reasonable approach would be to seek wider compliance with the Board of Equalization (BOE) ruling from October of 2005, which requires patients’ collectives and cooperatives to pay sales tax at the normal rate. This could bring large sums of money into state coffers without creating additional economic hardships for sick and dying Californians who lawfully use medical cannabis.

(ASA opposes the application of sales tax to medical cannabis, but supports compliance with the BOE ruling until the law changes.)

Research conducted by ASA shows that regulating medical cannabis is beneficial for communities, and revenue issues should be a part of a comprehensive regulatory strategy. However, SBX6 16 is a premature effort. Revenue issues must be addressed along with other crucial issues – (1) inconsistencies in local policies on sales of cannabis, (2) clarity on the scope and nature of conduct permitted under the law, (3) licensing and legal protection for cannabis growers, and (4) protection for patients’ civil rights. ASA is willing to work with lawmakers on sensible and comprehensive legislation in the future.

Please join ASA in opposing SBX6 16 before Wednesday’s hearing. You can contact members of the Senate Revenue and Taxation Committee from the committee web page. Tell them to vote no on SBX6 1

People who need the medicine can't afford a 41% tax hike. BUT if it passes, this will change the MMJ game forever: nobody will buy, everyone will grow + share.

So what do YOU think is a reasonable tax rate, considering they already pay sales tax on it.

Market Rates
OZ - 300 - 450
8th - 40 - 70
gram - 10 - 25
 

NoWhereM

Senior member
Oct 15, 2007
543
0
0
The market rate is $300 or more an ounce? How much do patients use per month? It would seem to be cheaper to just grow your own already.

Regardless of price, there shouldn't be any tax on any prescription drugs.
 

khon

Golden Member
Jun 8, 2010
1,319
124
106
Applying the same tax rate that tobacco has doesn't seem unreasonable, if it was legalized first. Prices should still drop overall.

I don't see the logic in a big tax while its only legal for medicinal purposes though.
 

Dr. Detroit

Diamond Member
Sep 25, 2004
8,166
633
126
prices are high not due to manufacturing costs but do to the illegal risks people take.

Once the illegality of production is removed you will see massive tobacco like farms emerge. PhilipMorris, RJ Reynolds, Lorriland have all supposedly invested in R&D for growth of MJ.

Outdoor farmin will drastically reduce prices as well as natural sunlight will be able to be used rather than expensive grow lights. Farm land is much more cheaper to rent than a 6-bdrm home in the suburbs.

Prices will plummet and the 41% tax will seem low!
 

Dekasa

Senior member
Mar 25, 2010
226
0
0
Yeah, just legalize it, THEN tax it at 41%. MJ grows cheap, if it were legal to grow/sell it prices would tank.

Potheads get their pot, medical users get a huge discount, and you don't have to spend near so much on incarcerating potheads.
 

senseamp

Lifer
Feb 5, 2006
35,787
6,195
126
Aren't even legalization supporters always saying, legalize and tax the sh!t out of it?
 

ebaycj

Diamond Member
Mar 9, 2002
5,418
0
0
People who need the medicine can't afford a 41% tax hike. BUT if it passes, this will change the MMJ game forever: nobody will buy, everyone will grow + share.

So what do YOU think is a reasonable tax rate, considering they already pay sales tax on it.

Market Rates
OZ - 300 - 450
8th - 40 - 70
gram - 10 - 25

Those $450 oz's have a LOT of profit built in. What will happen if people do not want to pay the tax, is that prices will fall, so that product+tax is now $450.
 

Darwin333

Lifer
Dec 11, 2006
19,946
2,328
126
Aren't even legalization supporters always saying, legalize and tax the sh!t out of it?

Yes, legalize it for recreational use and tax the shit out of it. They are talking about placing a tax on a prescription drug though not a recreational one, big difference.

Do you think that a 41% tax on all prescription medicines is a good idea?
 

cubby1223

Lifer
May 24, 2004
13,518
42
86
As someone who believes the vast majority of current "medicinal" pot use is actually recreational use...

I can't really disagree with a tax hike.

Besides, the subject says it will be taxed at 41%, then the comment says a 41% increase. These are two *very* different things, so which is correct?
 

BoberFett

Lifer
Oct 9, 1999
37,563
9
81
Aren't even legalization supporters always saying, legalize and tax the sh!t out of it?

Which is stupid. Why should it be taxed higher than any other consumer product? Why can't we just tax it, rather than "tax the shit out of it."
 

Pulsar

Diamond Member
Mar 3, 2003
5,225
306
126
The tax on tobacco is a luxury tax. By trying to place it on marijuana, he is suggesting that it is not a medical treatment but instead a luxury. I strongly suggest you have cancer patients go to his next 'town hall' and tell him what they think about it being a luxury.
 

EagleKeeper

Discussion Club Moderator<br>Elite Member
Staff member
Oct 30, 2000
42,591
5
0
The tax on tobacco is a luxury tax. By trying to place it on marijuana, he is suggesting that it is not a medical treatment but instead a luxury. I strongly suggest you have cancer patients go to his next 'town hall' and tell him what they think about it being a luxury.
The majority of the MJ prescriptions (by admissinos of MJ users) are for recreational use. Therefore it is a luxury that they are painting as a medical necessity.
 

sandorski

No Lifer
Oct 10, 1999
70,108
5,641
126
Yes, legalize it for recreational use and tax the shit out of it. They are talking about placing a tax on a prescription drug though not a recreational one, big difference.

Do you think that a 41% tax on all prescription medicines is a good idea?

This is the problem. Sets a bad Precedent that could eventually lead to huge Taxes on other Prescriptions if not all.
 

Double Trouble

Elite Member
Oct 9, 1999
9,272
103
106
I'm against any taxes on prescription drugs for actual medical use. However, since we all know the "medical" part of MMJ is bullshit, 41&#37; just like tobacco products sounds perfectly reasonable.
 

sandorski

No Lifer
Oct 10, 1999
70,108
5,641
126
I'm against any taxes on prescription drugs for actual medical use. However, since we all know the "medical" part of MMJ is bullshit, 41% just like tobacco products sounds perfectly reasonable.

It's not all BS, but even if 90% is, as long as it's Classed as a Medical Drug, Taxing it opens a Pandora's box. Far better to just Legalize then Class it with Alcohol/Tobacco.
 

dawp

Lifer
Jul 2, 2005
11,345
2,705
136
I'm against any taxes on prescription drugs for actual medical use. However, since we all know the "medical" part of MMJ is bullshit, 41&#37; just like tobacco products sounds perfectly reasonable.

no, it isn't. for a lot of cancer patients, that is the only way they can keep their weight up because the treatments are extreamely nauseating. I know first hand since my GF is going through this. without pot, she can hardly eat anything.
 

shortylickens

No Lifer
Jul 15, 2003
82,854
17,365
136
The market rate is $300 or more an ounce? How much do patients use per month? It would seem to be cheaper to just grow your own already.

Regardless of price, there shouldn't be any tax on any prescription drugs.

Yeah I believe they should legalize it and tax it but if the government is just going to artificially inflate the prices, then folks will go back to growing weed or worse yet, buying it from mexican drug traffic which is such a bad thing I dunno if I even wanna think about it.
And 300 bucks per ounce is ridiculous. When I lived in Oregon I heard about people buying and selling for MUCH less than that.

I also agree that taxing prescriptions is wrong, if for no other reason than they are already hideously expensive, and the billion dollar corporations that sell them already get heavy taxes.
 

Double Trouble

Elite Member
Oct 9, 1999
9,272
103
106
no, it isn't. for a lot of cancer patients, that is the only way they can keep their weight up because the treatments are extreamely nauseating. I know first hand since my GF is going through this. without pot, she can hardly eat anything.

Be that as it may, 99.9% of all this "medicinal use" stuff is bullshit and everyone knows it. Those who want to smoke pot are just using it as a convenient crutch to help push toward their goal of being able to smoke pot freely. Incidentally, I don't care if pot is legalized or not, I just don't like all the "medicinal use" bullshit as a cover.

As I said, I don't think anything used for real medicinal purposes should be taxed at all, since it's not a luxury or optional item for consumers.

If they're going to legalize, then putting the same tax on it as tobacco makes perfect sense. If they are going to make it so only *real* medicinal users can get it, then I'm against any taxation of it.
 

ShawnD1

Lifer
May 24, 2003
15,987
2
81
California Senator Ron Calderon (D-Montebello) wants to add a new tax medical cannabis in California. If adopted, SBX6 16 would tax legal medicine at the same rate as tobacco – forty one percent!
The US must have really REALLY cheap cigarettes. In Alberta, Canada a pack of 25 cigarettes is $12. The tax rate is literally several hundred percent. The actual cigarettes themselves are worth no more than $2 at the very most.


In any event, this politician will surely burn in hell for what he is trying to do. Taxation of prescription drugs?? He should be banned from ever buying any prescription in California. He'll either move out of the state or die from some illness he deserves.


So what do YOU think is a reasonable tax rate
For prescription fucking drugs? Try 0%.
 

BudAshes

Lifer
Jul 20, 2003
13,915
3,196
146
If we are going to tax one prescription drug we should tax them all. If you want to tax weed you have to legalize and regulate it first.
 

umbrella39

Lifer
Jun 11, 2004
13,819
1,126
126
I'm against any taxes on prescription drugs for actual medical use. However, since we all know the "medical" part of MMJ is bullshit, 41&#37; just like tobacco products sounds perfectly reasonable.

Things you can't wrap your mind around = bullshit

Got it.
 

Double Trouble

Elite Member
Oct 9, 1999
9,272
103
106
Things you can't wrap your mind around = bullshit

Got it.

I haven't been smoking a bunch of weed, so I don't have trouble wrapping my mind around concepts.

If you believe the vast majority of "medical use" isn't actually just recreational use, you're naive, stupid or both. You have tons of doctors coming from all over the place to see people for 3 seconds to give them prescriptions. Suuuuure, those are all cancer patients needing pot to keep the nausea in check ;)

I'm against taxing actual prescription (needed) drugs, but in it's present "gray area" state in CA, "medicinal" pot is in most cases not needed. They need to either legalize the thing or put some real controls around it's prescription and dispensation. This half-assed stuff makes no sense.
 

ShawnD1

Lifer
May 24, 2003
15,987
2
81
Things you can't wrap your mind around = bullshit

Got it.
This.

Next we should put taxes on amphetamines because those people with narcolepsy are faking it. There's no way people could just randomly fall asleep like that. We should put those stupid liars in death camps.

Real answer: put evil politicians in death camps.
 

Dekasa

Senior member
Mar 25, 2010
226
0
0
So..... why don't you take care of the actual issue, aka people using/getting prescriptions for MMJ who don't need it, instead of taxing cancer patients.

Have you ever seen a cancer patient on chemo/radiation? They need all the help they can get.