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Michigan Lawmaker Files Bill to Repeal 24% Wholesale Marijuana Tax
['Anthony Martinelli']
The Marijuana Herald
A Michigan lawmaker has introduced legislation that would eliminate the state’s 24% wholesale tax on recreational marijuana, less than a year after lawmakers approved the levy as part of a broader road funding package.
House Bill 6224, filed by State Representative James DeSana (R), would repeal the Comprehensive Road Funding Tax Act in its entirety.
DeSana argues the tax has failed to produce the revenue lawmakers anticipated while placing additional pressure on licensed marijuana businesses.
Revenue from the wholesale tax is directed primarily to Michigan’s Neighborhood Road Fund for transportation infrastructure.
DeSana says removing the wholesale tax would reduce costs throughout the regulated supply chain and make licensed businesses more competitive against unlicensed sellers.