Alaska’s legal pot industry decries taxes, seeks changes

Growers say the tax is squeezing their profit margins, and some complain that it keeps prices artificially high. (File image)
Growers say the tax is squeezing their profit margins, and some complain that it keeps prices artificially high. (File image)

JUNEAU, Alaska — Alaska’s legal marijuana industry wants the state to change the way it taxes pot.

The regulatory Marijuana Control Board plans to discuss tax and supply issues during a meeting Wednesday in Anchorage.

Growers say the tax is squeezing their profit margins, and some complain that it keeps prices artificially high. It comes as other legal pot states have struggled with marijuana taxes.

In California, licensed marijuana businesses are blaming combined state and local tax rates that can approach 50 per cent for driving sales back into the black market. Some lawmakers are proposing a temporary tax cut.

Washington state lawmakers, prompted by industry, scrapped a three-tier tax structure in 2015 and replaced it with a single excise tax at the point of sale.

Becky Bohrer, The Associated Press

Powered by WPeMatico

Comments
Please follow and like us: