Canada looks to raise $1b in recreational marijuana taxes

Friday, November 10, 2017

Print this page Email A Friend!


OTTAWA, Canada (AFP) — Soon-to-be legal recreational marijuana sales in Canada could bring up to C$1 billion (US$800 million) annually into government coffers, an official said Friday.

"If the market is somewhere in the neighbourhood of 400,000 kilos (440 tons)... then the tax impact of that would be somewhere in the neighbourhood of C$1 billion," said MP and former Toronto police chief Bill Blair, who has been tasked with overseeing the setup of the new regime.

"That's a very high estimate, in my opinion," he added, stressing that the actual size of the recreational pot market is not yet known.

Ottawa is scheduled to legalise cannabis next July after having already permitted its use for medical care.

One of the major considerations in the country's cannabis taxation policy is to keep costs low enough to undercut the illicit pot market.

The authorities have proposed a 10 per cent excise tax on marijuana in addition to applying sales taxes of up to 15 per cent, with amounts varying across jurisdictions.

The proceeds would be split with the provinces, which have announced a patchwork of public and private sector retail sales for cannabis.

ADVERTISEMENT




POST A COMMENT

HOUSE RULES

1. We welcome reader comments on the top stories of the day. Some comments may be republished on the website or in the newspaper � email addresses will not be published.

2. Please understand that comments are moderated and it is not always possible to publish all that have been submitted. We will, however, try to publish comments that are representative of all received.

3. We ask that comments are civil and free of libellous or hateful material. Also please stick to the topic under discussion.

4. Please do not write in block capitals since this makes your comment hard to read.

5. Please don't use the comments to advertise. However, our advertising department can be more than accommodating if emailed: advertising@jamaicaobserver.com.

6. If readers wish to report offensive comments, suggest a correction or share a story then please email: community@jamaicaobserver.com.

7. Lastly, read our Terms and Conditions and Privacy Policy



comments powered by Disqus
ADVERTISEMENT

Poll

ADVERTISEMENT
ADVERTISEMENT

Today's Cartoon

Click image to view full size editorial cartoon
ADVERTISEMENT