Yo, peeps! It’s your boy, Dan, droppin’ some fresh info on the state-level marijuana tax revenue. The U.S. Census Bureau just dropped their first-ever report on this shizz, and it’s a big deal, fam. They surveyed all state agencies from July 2021 and found out that these states raked in over $5.7 billion from licensed weed sales. Damn, that’s a lot of green!
This report is a major move by the feds, showin’ that they finally recognize the cannabis industry as a legit economic sector. The Census Bureau made it clear that they wanna gather info on marijuana taxes for their quarterly state and local government revenue summaries. They even encourage states to include cannabis revenue data in their annual reports. It’s like they’re sayin’, “Yo, we see you, weed industry!”
They released the first batch of quarterly data last month, which coincided with their commitment to survey American businesses involved in the ganja game. This shows that the feds are startin’ to realize how important the cannabis industry is to the economy as a whole. It’s about time they caught up!
Now, let’s talk about those state-level cannabis revenue highlights. Washington and Colorado, the OG states when it comes to nonmedical weed legalization, brought in some serious cash. Washington made $818.5 million in tax revenue, while Colorado scored $648.1 million. These states paved the way for the rest of us to enjoy that good-good legally.
But hold up, California ain’t playin’ around either. They brought in a whopping $1.4 billion in sales tax revenue over a year and a half. That’s some serious cheddar! On the other hand, New York only made $27.9 million since they just started their weed sales in December 2022. They still got some catchin’ up to do.
Now, there are some challenges and ambiguities in reporting this shizz. The Census Bureau says that their data includes all compulsory contributions imposed by the government for public purposes. They even include penalty and interest receipts related to government income, but they don’t count protested amounts. So basically, they’re tryna cover all their bases.
They also got these two different tax codes for reporting marijuana revenue to states. One is for taxes on weed transactions, and the other is for business license fees. But they don’t specify if the totals include both sales tax figures or just one of ’em. We asked for clarification, but they ain’t answered yet.
The bureau also mentioned that their numbers might not match up exactly with what states report because they have a broader definition of “state government.” They include the executive, legislative, and judicial branches, plus agencies, institutions, commissions, and public authorities. So they probably include the money that cities and counties get too.
Oh, and check this out: the Census Bureau’s data is based on sales from the previous quarter. So if they release the data in September 2023, it’s gonna cover sales from April to June 2023. It’s a bit confusing, but at least they’re keepin’ track of this shizz.
Now let’s talk about the cannabis industry advocacy and future reform. The peeps in the industry are stoked that the feds finally recognize how much money we’re bringin’ in. But they’re also pushin’ for more changes, like tax law reforms and addressin’ the ongoing criminalization of weed.
Aaron Smith, the Executive Director of the National Cannabis Industry Association, said that while we’re makin’ progress, there’s still a long way to go. We need better banking regulations and changes to tax laws to boost the industry even more. And ultimately, we need the feds to deschedule weed so we can reach our full potential.
Kaliko Castille, the President of the Minority Cannabis Business Association, thinks it’s dope that the Census Bureau is finally payin’ attention to the cannabis industry. It’s like they’re sayin’, “We see you, fam!” But he also pointed out the irony of the feds upholdin’ this provision that denies weed operators the ability to write off business expenses on their taxes. That ain’t cool, man.
David Culver, the Senior VP of Public Affairs for the U.S. Cannabis Council, is hyped about the Census Bureau collectin’ data from all these state weed markets. He sees it as a sign that the federal government is startin’ to come around under President Biden. But he also mentioned that national marijuana tax revenue has been droppin’. We gotta keep an eye on that, fam.
So there you have it, peeps. The Census Bureau is finally givin’ us some love and recognizin’ the economic impact of the cannabis industry. We’re bringin’ in billions in tax revenue and employin’ hundreds of thousands of people. It’s time for the feds to step up and support us fully. Let’s keep pushin’ for reform and makin’ our voices heard!
And remember, stay lifted and always keep it green! Peace out!