California Assembly Approves Cannabis Excise Tax
SACRAMENTO (KCBS) – A bill passed the California State Assembly on Thursday would charge an excise tax on cannabis.
AB 2243 from Assemblymember Jim Wood (D-Healdsburg) would impose a tax of $9.25 an ounce on cannabis flowers, $2.75 an ounce on cannabis leaves and $1.25 an ounce on immature cannabis plants.
The tiered approach is modeled after the way alcohol is taxed based on the potency of the product.
The bill is projected to raise nearly $80 million a year. The funds would be distributed to law enforcement, local watersheds and for environmental cleanup.
The bill now heads to the state Senate.
