{"id":1338,"date":"2021-08-22T13:08:55","date_gmt":"2021-08-22T13:08:55","guid":{"rendered":"https:\/\/ultimatehealthreport.com\/the-true-cost-of-the-cannabis-potency-tax\/"},"modified":"2021-08-22T13:08:55","modified_gmt":"2021-08-22T13:08:55","slug":"the-true-cost-of-the-cannabis-potency-tax","status":"publish","type":"post","link":"https:\/\/ultimatehealthreport.com\/the-true-cost-of-the-cannabis-potency-tax\/","title":{"rendered":"The True Cost of the Cannabis Potency Tax"},"content":{"rendered":"


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Editor\u2019s Note: This article was published in the spring 2021 issue of <\/em>Cannabis & Tech Today. New York has since legalized adult-use cannabis consumption. The author\u2019s perspective on potency taxes remains relevant, as several states are considering similar proposals. <\/em><\/p>\n

As New York continues to slow-step its way towards adult-use legalization, Gov. Andrew Cuomo is proposing a unique system for taxing cannabis based on potency.\u00a0<\/p>\n

Assuming the Democratic governor succeeds in his latest attempt to legalize recreational marijuana, New York would be the first state to levy a tax based on milligrams of THC. States typically base taxes on retail price, not the pot\u2019s potency.\u00a0<\/p>\n

Taxing adult-use cannabis is part of Gov. Cuomo\u2019s plan to dig New York out of its hole. The state is facing a multi-billion-dollar budget gap after the coronavirus pandemic ravaged the economy.\u00a0<\/p>\n

Meanwhile, the weed industry is on fire. Legal cannabis sales jumped more than $7 billion nationwide last year, to $17.9 billion, according to Leafly.com. In his State of the State Address on Jan. 13, Cuomo said legal cannabis will eventually create 60,000 new jobs, $3.5 billion in economic activity, and $300 million in tax revenue.\u00a0<\/p>\n

New York\u2019s THC triple-tax: Can it compete against the illicit market?<\/strong><\/p>\n

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