Friday, March 23, 2012

Washington State Expects Windfall in Taxes if Recreational Use is Legalized

One of the compelling arguments for legalization of marijuana is the new revenue of taxes for governments on the local, state and federal level. New projections done by the state of Washington seem to confirm that belief.

If recreational marijuana becomes the law in Washington, the state's government projects revenues two times proponents predicted, The Seattle Post reports. State estimates put the total at more than $500 million the first year, with its total take at three quarters of a billion by 2014.

Marijuana would also bring in $130 million more than alcohol taxes. The study does not take into account taxes on growers and savings on law enforcement and incarceration costs, though a more complete study is on the way.

State lawmakers also point out, however, that the projections are based on guesses and does not take into account the impact the federal government will have if it cracks down on pot if Washington does legalize recreational use.

No comments: