California: Oakland Voters Approve Nationâ??s First Marijuana Business Tax

California: Oakland Voters Approve Nationâ??s First Marijuana Business Tax

July 22nd, 2009 By: Paul Armentano, NORML Deputy Director



http://norml.org/images/blog/cannabis_flower.jpg


[Editor's note: This post is excerpted from this week's forthcoming NORML weekly media advisory.]

Oakland voters on Tuesday overwhelmingly approved the nationâ??s first ever business tax on retail marijuana sales.

According to preliminary election results, approximately 80 percent of Oakland voters approved the new tax (which appeared on the ballot as Measure F), which imposes an additional tax for â??cannabis businessesâ?� of $18 for every $1,000 of gross receipts beginning January 1, 2010.

Presently, Oaklandâ??s medical cannabis dispensaries are taxed at the same rate as other retail sales businesses ($60 per year for the $50,000 of gross receipts, plus $1.20 for each additional $100,000).

Four dispensaries are licensed by the Oakland City Council to sell and dispense medical marijuana.

According to a financial analysis by the Oakland City Auditor, Oaklandâ??s new cannabis business tax will generate an estimated $300,000 in additional annual tax revenue.

Representatives from the Oakland City Council, the California Nurses Association, and the dispensary community publicly advocated for the new tax, which had no formal opposition.

â??The passage of this first-in-the-nation tax further legitimizes cannabis-based enterprises in Oakland and elsewhere,â?� NORML Executive Director Allen St. Pierre said. â??These outlets are contributing to the health and welfare of their local communities, both socially and now economically. At a time when many municipalities are strapped for tax revenues and cutting public services it is likely that public officials in other cities will begin considering similar proposals.â?�

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Original Link!

Yeah I was taking a look at that just as well..in the lounge I myself posted a blog article from Norml.org. Though you may not be as paranoid as I but anything that I take from them and do not change into my own words I always make sure that I put something like "(Source from www.norml.org)" because you just never know when someone will be lurking around and decide to get you for plagiarism :D

Just lookin out for you man!! But either way..good post :thumbsup:

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Originally Posted by KyleIsNorml

Yeah I was taking a look at that just as well..in the lounge I myself posted a blog article from Norml.org. Though you may not be as paranoid as I but anything that I take from them and do not change into my own words I always make sure that I put something like "(Source from www.norml.org)" because you just never know when someone will be lurking around and decide to get you for plagiarism :D

Just lookin out for you man!! But either way..good post :thumbsup:

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if you look i have the original link up there....it says original link and you can click it.

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Originally Posted by Italiano715

California: Oakland Voters Approve Nationâ??s First Marijuana Business Tax

July 22nd, 2009 By: Paul Armentano, NORML Deputy Director



http://norml.org/images/blog/cannabis_flower.jpg


[Editor's note: This post is excerpted from this week's forthcoming NORML weekly media advisory.]

Oakland voters on Tuesday overwhelmingly approved the nationâ??s first ever business tax on retail marijuana sales.

According to preliminary election results, approximately 80 percent of Oakland voters approved the new tax (which appeared on the ballot as Measure F), which imposes an additional tax for â??cannabis businessesâ?� of $18 for every $1,000 of gross receipts beginning January 1, 2010.

Presently, Oaklandâ??s medical cannabis dispensaries are taxed at the same rate as other retail sales businesses ($60 per year for the $50,000 of gross receipts, plus $1.20 for each additional $100,000).

Four dispensaries are licensed by the Oakland City Council to sell and dispense medical marijuana.

According to a financial analysis by the Oakland City Auditor, Oaklandâ??s new cannabis business tax will generate an estimated $300,000 in additional annual tax revenue.

Representatives from the Oakland City Council, the California Nurses Association, and the dispensary community publicly advocated for the new tax, which had no formal opposition.

â??The passage of this first-in-the-nation tax further legitimizes cannabis-based enterprises in Oakland and elsewhere,â?� NORML Executive Director Allen St. Pierre said. â??These outlets are contributing to the health and welfare of their local communities, both socially and now economically. At a time when many municipalities are strapped for tax revenues and cutting public services it is likely that public officials in other cities will begin considering similar proposals.â?�

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Original Link!

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my first thought was they shouldn't tax medical use but I guess its only like 1.8% and my guess is they will have tax exceptions for those who cannot afford it and . . . last but not least :D


"Advocates of legalizing pot for recreational use hope to use Oakland's experience with Measure F to persuade California voters next year to approve a measure that would legalize and regulate marijuana like alcohol."

Here is an interview that is kinda interesting, i think :greenthumb: although the interviewer seemed very confused with some of the questions. :jointsmile:

well this sucks! I believe its the first step to high priced marijuana. the taxes will climb fast and furious as politicions will want that tax money to go shopping with, its a sad day !! Medicine Taxed !! Healthcare Taxed!! Tax Tax Tax :cursing: :mad: :cursing: :mad: :cursing: :mad:
plz do not celebrate this sad day as it marks the start of the end of affordable medicine for all :sadcrying :sadcrying :sadcrying

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Originally Posted by Italiano715

if you look i have the original link up there....it says original link and you can click it.

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Ohh okay I didn't see that haha, my bad :(

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Originally Posted by veggii

well this sucks! I believe its the first step to high priced marijuana. the taxes will climb fast and furious as politicions will want that tax money to go shopping with, its a sad day !! Medicine Taxed !! Healthcare Taxed!! Tax Tax Tax :cursing: :mad: :cursing: :mad: :cursing: :mad:
plz do not celebrate this sad day as it marks the start of the end of affordable medicine for all :sadcrying :sadcrying :sadcrying

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yeah, that was my first thought, too. Why couldn't Oakland just go ahead and legalize non med use on its own, now, pre-initiative? then drop any tax for med use but tax not medical use if helps them with the voters. But I don't live in California anymore so I'll leave it up to y'all to decide this one. :jointsmile:

If it were up to me I would just have the State plant tons of quality clones all over the place and give it out for free. Everyone should have safe legal (and free :D :stoned: ) access. it would promote peace and the pursuit of happiness. :) :hippy:

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Originally Posted by boaz

yeah, that was my first thought, too. Why couldn't Oakland just go ahead and legalize non med use on its own, now, pre-initiative? then drop any tax for med use but tax not medical use if helps them with the voters. But I don't live in California anymore so I'll leave it up to y'all to decide this one. :jointsmile:

If it were up to me I would just have the State plant tons of quality clones all over the place and give it out for free. Everyone should have safe legal (and free :D :stoned: ) access. it would promote peace and the pursuit of happiness. :) :hippy:

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If only that were true about promoting peace. I think it would promote those little thugs to try and take it all to make "bank." Bunch of greedy people in this world. Wish it could be that way though! :D Maybe we just need more people like yourself! :thumbsup:

^ yeah, you might be right. if only people in general were more like the people on this forum, hu? always ready to help a brother or sister. :cool:

anyways, good luck Cali. . . . and don't let Mass beat you. :jointsmile:

I'd be surprised to see prices of marijuana go up much because of this...for every $1,000 they have to pay $18, that may seem like a lot because of all the marijuana sold, but they rip people's asses with prices compared to what they paid for it to begin with...plus then drive like a few miles where there's no business tax or something?? I think it's great, marijuana's a lot more expensive than T-shirts and purses...I believe I even read that business owners were very open to the idea of the tax anyhow..let people see that this is a tax reeling in business...


I think it's so funny to read what those idiots write in rebuttle to the arguments about legalization and taxation of marijuana there..."Marijuana's already expensive enough, putting a ridiculous $50 tax per ounce is going to make it more expensive and there will still be incentive for drug dealers to undersell retail" that's such an ignorant statement...if you know anything about prohibition, you know why marijuana's so damned expensive...it costs fking nothing to grow...if you know someone who grows it it's likely you get it for next to nothing..

way more ignorance here in oklahoma though

my problem with this is why are they being taxed differantly that any other buissness. im not against the tax per-se ( ive always wanted to say per-se, cool soundin word per-se). i see the need in cali for the revenue, if only everyone else would, but $18 per $1000, may only be 1.8% but other buisnessess only pay $60 per 50,000, thats 1.2%. what im not clear on is this, the $1.20 per $100,000. do you only pay the $60 fer just the first $50,000 then at every $100,000 only pay $1.20? so if my buisness makes $100,000 do i pay $121.20 or do i pay $61.20? big differance in the tax. but ragardless why a differance?

also can you run a non-profit and get away from the tax man?

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Originally Posted by yokinazu

... im not against the tax per-se ( ive always wanted to say per-se, cool soundin word per-se).

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:D if i had more time i would post the link to the southpark vampire episode, it is f'in hilarious . . ., per se . . . :D

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Originally Posted by yokinazu

i see the need in cali for the revenue, if only everyone else would, but $18 per $1000, may only be 1.8% but other buisnessess only pay $60 per 50,000, thats 1.2%. what im not clear on is this, the $1.20 per $100,000. do you only pay the $60 fer just the first $50,000 then at every $100,000 only pay $1.20? so if my buisness makes $100,000 do i pay $121.20 or do i pay $61.20? big differance in the tax. but ragardless why a differance?

also can you run a non-profit and get away from the tax man?

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yeah, i was wondering about that, too, i don't think they were clear about that. I was assuming everything besides food out there has like a four or five percent sales tax on it, but maybe not.

anyways, i say, just legalize it already, Oakland. Arnie won't care. The messiah has too much to lose to f with Cali. just go for it. :jointsmile: easier said than done, i'm sure. ;) this would give some real time $$$ data for the California voters to look at before the election in '10. :greenthumb:

or even better, the cali legislature should pass a law similar to the language of the upcoming voter sponsored inititative that basically allow the Counties to regulate, control and tax as the people of that County see fit.

This would let the Cali Congress and Arnie basically punt the issue to the counties and eventually to the voters next year. This gives them the advantage of not being at odds with federal laws as their current bill is and would allow Oakland and other communities to experiment in legalization so that voters would have a real examples of what kind of revenue we would be talking about. My guess is it would be much much larger than they have estimated. hell, i'd be on a plane the next day if they legalized it there. :smokin:

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yeah, i was wondering about that, too, i don't think they were clear about that. I was assuming everything besides food out there has like a four or five percent sales tax on it, but maybe not.

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im pretty sure this is not a sales tax, consumer pays sales tax not a buisness.


the south park episode is classic. i been a south park junkie from the very first episode, per-se. hmmm makes me want clamato juice, all tomatoey and clammy,per-se, mmmmm.

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Originally Posted by yokinazu

... i been a south park junkie from the very first episode, per-se. ...

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:D me too! . . . per-se :jointsmile: