Opinion: Californians should not be helping bankroll the cannabis industry

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Opinion: Californians should not be helping bankroll the cannabis industry [Opinion]

led to increased emergency room visits, poisonings, mental health problems, and vehicle and work-related injuries. Politicians work to lower taxes on marijuana while the state spends millions of taxpayer dollars to ameliorate the problems that it causes.The editorial bemoans the fact that “California isn’t anywhere close to” reducing the black market sales of cannabis and Newsom’s failure after five years to fix it. As you state, “illegal cannabis products cost half as much as legal ones.

The state excise tax on cannabis is 15 percent. The state sets the retail price of cannabis at 75 percent higher than the wholesale price. Counties and cities add their own taxes. Local governments severely restrict the number of legal retailers, so limited legal supply adds to the price. Pro-cannabis state lawmakers want to sharply slash the tax burden but face opposition from the Service Employees International Union over potential cuts to services the taxes fund.

Cannabis should be taxed and regulated at the same rate as alcohol. Then we might put a dent in the black market.

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