It’s no secret that California allows residents to legally use marijuana. Lawmakers now want to apply taxes and other regulations to the marketplace. These new tax regulations and laws could impact how marijuana is grown, where it’s grown and what is made with marijuana as some stores sell baked goods that contain the plant. The regulations could also increase the price for items that are sold, such as cookies and brownies.
For most people, it’s about $35 for one bag of high-quality marijuana. This is an average price across the country for those who do use the drug. A bag of this size will usually result in at least five joints, six if they are rolled smaller. When new sales tax regulations are put in place in 2018, that same bag will likely rise to about $50. It’s an increase of about 70 percent. For medical marijuana, the cost is expected to increase as well. However, it’s not supposed to increase as much as recreational marijuana.
Many growers sell large bags of marijuana leaves that can be used for everything from ointments to foods. A trash bag of leaves is usually about $50. In 2018, that price is expected to increase to around $40 for each pound. The tax amount alone would exceed the original price for a bag of the leaves. The value of the marijuana sold in this form would decrease, which would make it more or less leaves to use for a compost pile. Many of the county and city governments that are struggling to provide repairs and to pay workers are looking forward to the increases, but those who grow and sell marijuana are left to wonder if the new taxes are going to put them out of business. Local governments would be able to apply their own taxes as well.