Theo tin Ryan
DALLAS, Nov. 10, 2016 /PRNewswire/ — On Tuesday, voters in California, Massachusetts, and Nevada said “yes” to recreational marijuana initiatives. However, Arizona voted down its initiative. As of Thursday morning, Maine Question 1 is still too close to call, with a “yes” vote leading 50.2% to 49.8% with 98% reporting.1
California Proposition 64 will legalize marijuana usage for adults 21 years or older. Proposition 64 provides for state agency regulation and licensing of the industry. Local jurisdictions will be allowed to regulate and tax marijuana with certain restrictions. Retail sales of marijuana will be subject to a state excise tax of 15% on retail sales of marijuana. Further, it will create a state cultivation tax on marijuana of $9.25 per ounce of flowers and $2.75 per ounce of leaves. Medical marijuana will be exempt from some taxation provisions.
Massachusetts Ballot Question 4 will allow the possession, use, distribution, and cultivation of certain amounts of marijuana by persons age 21 and older and would remove criminal penalties for such activities. It provides for the regulation of commerce in marijuana, marijuana accessories, and marijuana products and for the taxation of proceeds from sales of these items. Retail sales of marijuana and marijuana products will be subject to the state sales tax and an additional excise tax of 3.75%. Further, cities or towns could impose a separate tax of up to 2%. The proposed law will take effect on December 15, 2016.
Nevada Ballot Question 2 will allow persons 21 years old or older, to purchase, cultivate, possess, or consume certain amounts of marijuana, as well as concentrated marijuana. Further, such persons will be able to manufacture, possess, use, transport, purchase, distribute, or sell marijuana paraphernalia. The law also provides for the regulation and licensing of the marijuana industry. Wholesale sales of marijuana will be subject to an excise tax of 15%.
Maine Question 1 proposes to allow persons 21 and older to possess a limited amount of marijuana and marijuana products and grow a limited number of marijuana plants in their homes. It will remain illegal to use marijuana in public. It will provide for regulations for selling, producing, testing, and transporting marijuana and related products. Cities and towns have the option of prohibiting marijuana establishments. Retail sales of marijuana and marijuana products would be subject to the state sales tax of 10%.
Arizona Proposition 2015 would have allowed individuals 21 years and older to privately use, possess, manufacture, give away, or transport up to 1 ounce of marijuana, as well as grow up to 6 marijuana plants at home. Proposition 205 provided for regulations for licensing entities involved in cultivating, manufacturing, distributing, selling, and testing marijuana products. Local jurisdictions would have had limited authority to enact ordinances and rules to regulate marijuana and marijuana products. Retail sales of marijuana and marijuana products would have been subject to the state tax of 15%.
Most of the ballot initiatives also establish labeling requirements and prohibit marketing and advertising to minors like that of the cigarette industry. California, Massachusetts, and Nevada join Alaska, Oregon, Washington, Washington, D.C., as well as the most noteworthy Colorado that have already approved recreational marijuana. In addition, other states have already approved marijuana for medicinal purposes.
1 As reported by the New York Times at nytimes.com and CNN at cnn.com.
Ryan is an award-winning global tax services firm, with the largest indirect and property tax practices in North America and the seventh largest corporate tax practice in the United States. With global headquarters in Dallas, Texas, the Firm provides a comprehensive range of state, local, federal, and international tax advisory and consulting services on a multi-jurisdictional basis, including audit defense, tax recovery, credits and incentives, tax process improvement and automation, tax appeals, tax compliance, and strategic planning. Ryan is a five-time recipient of the International Service Excellence Award from the Customer Service Institute of America (CSIA) for its commitment to world-class client service. Empowered by the dynamic myRyan work environment, which is widely recognized as the most innovative in the tax services industry, Ryan’s multi-disciplinary team of more than 2,100 professionals and associates serves over 12,000 clients in more than 40 countries, including many of the world’s most prominent Global 5000 companies. More information about Ryan can be found at ryan.com.
Logo – http://photos.prnewswire.com/prnh/20160125/325377LOGO
TECHNICAL INFORMATION CONTACT:
Jeremiah T. Lynch
Available Topic Expert(s): For information on the listed expert(s), click appropriate link.
Jerry Lynch – http://www.profnetconnect.com/jeremiahlynch
Note: We are not responsible for typo error, price change, substitute item, or available of item from online ads.