Nevada Topping $30M in Tax Revenue from Cannabis Sales

Nevada’s cannabis industry is still in its infancy but in just six months the cannabis market has already raked in more than $30 million in tax revenue for the state. During this time, retailers in the state have sold more than $195 million in cannabis.

The state charges a 15% tax on wholesale cannabis and a 10% tax on retail sales and has seen its cannabis sales soar past Colorado’s during the first months of its legal market. Cannabis analytics firm New Frontier projects Nevada’s state-legal cannabis market to be worth $622 million by 2020. With nearly 85% of Nevada being federally owned, much of the market’s success can be attributed to the tourist-friendly city of Las Vegas with its culture of fun and excess.

While there has been some political wrangling over how the money gets distributed, the state is sending a good chunk of it towards education. Other cannabis-legal states have done the same. In Colorado, wholesale pot taxes are set aside for a public-school fund, in addition to paying for regulatory oversight, youth drug prevention, and substance abuse treatment. Just the thought of that much tax revenue has caused some cash-strapped states to consider legalizing cannabis. But, according to Andrew Freedman, Colorado’s first marijuana czar, potential tax revenue shouldn’t factor into the legalization discussion: saying, “At the end of the day, the debate shouldn’t be about tax revenue. ‘Should we lock up fewer people for marijuana?’ vs. ‘Is this going to create more of a burden on public safety?’—that’s where the debate should be.”

Related posts

Health Canada Announces Rules for Cannabis Packaging Ahead of 2018 Legalization


CMTREX and Theracann International Announce Joint Initiative to Advance Authentification Standards in The Global Wholesale Cannabis Market


Health Canada Issues Significant Changes to Industrial Hemp Regulations


Leave a Comment

%d bloggers like this: