In March, Arizona generated more tax revenue from legal marijuana than from tobacco and alcohol, reported Marijuana Moment. The state receives Marijuana Tax revenues from three different sources: 1) the 16% Recreational Marijuana Excise Tax; 2) Sales Tax applied to Recreational Marijuana purchases; and 3) Sales Tax applied to Medical Marijuana purchases.
The state collected $11.9 million in dedicated marijuana excise taxes in March and $94.3 million in fiscal years to date.
The combined General Fund share of medical and recreational cannabis was $6.3 million in March and $55.4 million in fiscal year-to-date compared to $1.7 million from tobacco and $3.7 million from alcohol sales, reported the state’s Joint Legislative Budget Committee.
In 2022, Arizona collected $149.7 million in marijuana tax revenue.
“These numbers are a clear indication that Arizonans have fully embraced legal cannabis,” Samuel Richard, executive director of the Arizona Dispensaries Association told Marijuana Moment. “Can you imagine what the fiscal impact would be if the government was a partner in our success, rather than an opponent?”
More Weed And Less Liquor, Say One-Third Of Those Asked
Despite marijuana still being a Schedule I drug, while alcohol is legal for adults over 21, nearly one-third of over 10 000 Americans said they think it would be ideal if people used more marijuana and less liquor, according to a poll by YouGov published in March.
According to the Institute on Taxation and Economic Policy (ITEP) “most of the states that allowed cannabis sales last year raised more revenue from cannabis excise taxes than from alcohol excise taxes and profits (in the case of state-run liquor stores)”. “In total, cannabis revenues outperformed alcohol by 20 percent by this measure,” reported ITEP on April 19.
Photo by Olga DeLawrence on Unsplash.
