You are hereFruita Becomes First Colorado Town To Tax Medical Marijuana
Fruita Becomes First Colorado Town To Tax Medical Marijuana
The farming town of Fruita has decided to impose a 5% sales tax on medical marijuana and paraphernalia, making it the first Colorado town to do so.
John Suthers, Colorado Attorney General has ruled that medical cannabis can be subject to state and local taxes.
Fruita has no dispensaries at the moment, but that hasn't stopped the city council from forecasting that the tax will bring in $100,000 in revenue in the first year.
60% of voters approved the tax measure.
The move is yet another instance of the dispensary system becoming accepted.
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Seems to me that especially in rural areas, it should be easy to set up the dispensary just outside city limits to avoid taxation and regulation.
Will marijuana dispensaries try the Walmart strategy? That is to try to get a reduction in local taxes in exchange for locating within city limits?