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Newsom Signs Bill Decreasing Cannabis Tax, Which Could Boost Struggling Industry
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KQED News
Here are the morning’s top stories on Monday, September 22, 2025…Governor Gavin Newsom signed a new law Monday, lowering state cannabis taxes from 19% to 15%.
But youth groups who are funded by this tax say kids are being betrayed.
But on the other side of the aisle, more than a hundred youth and environmental groups funded by cannabis tax revenues said kids are being betrayed.
Proposition 64 promised to create a marijuana tax fund, with 60% of revenues benefitting youth groups.
But over the years, that financial bargain has come into conflict with another promise in that proposition: one that allows cities and counties across the state to apply whatever local cannabis taxes they wish on top of the state taxes.
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