Montana Idea Might Give Medical Marijuana Firms a Boost!

Montana proposal could give medical marijuana businesses a boost

In a way to help the medical marijuana industry in Montana, a Republican senator is proposing to do away with sales taxes on the drug.

Patients using medical marijuana in Montana are subject to a 4% state sales tax and a 3% local tax in some areas.

If nevertheless House Bill 420 becomes law, both would be done away with.

Republican Mike Hopkins of Missoula introduced the bill in the state legislature on Wednesday.

According to the Helena Independent Record, Hopkins wants to reduce the MMJ fee because the tax collected from adult-use cannabis sales is sufficient.

Since the legal market opened in Montana in January 2022, $48.5 million in tax income has been collected on $230 million in sales.

The state imposes an excise tax of 20% on sales for recreational use, and municipalities can tack on a further 3%.

The Helena newspaper claimed that in the year since adult-use sales began in Montana, the number of registered MMJ cardholders dropped from 40,000 to 21,000.

Since medicinal marijuana was approved in 2004, the state’s MMJ business has been plagued by difficulties, including legal disputes.

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Posts