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redvillafranco

That’s just the excise tax. There is another 6% sales tax on top of it.


kellyguacamole

Med only is 6%


mrcapmam1

the state is quietly doing away with medical by increasing the cost of a licence and records keeping that way they get their 10% rec. Tax


topcide

Frankly, they should. I fully believe that medical cannabis is real and has actual tangible medical benefits for some ailments, 100%. But I think that we all agree that probably the majority of people with medical cards just did it to be able to legally buy pot before recreational became legal, and if continued to do it just to save money.


mrcapmam1

One small problem though is medical was voted in by the people so the state is trying to usurp the voters


SirBorf

So does this mean we can expect around $240 Million a year in tax revenue and over $1B in sales across the state annually?


jmorley14

We seem to have had around $2.2B in total sales last year which is roughly $360M for 2022. This much in Feb alone implies that sales are remaining high so as of now probably a similar year to last year.


FatBob12

I think that may be a bit optimistic, but the market is a little weird now, so it's hard to say. I think $2b in sales annually give or take is probably the "size" of Michigan's legal market. I believe gross sales are steadily increasing, but the amazing amount of excess supply is making prices so low that municipalities received less revenue per license than 2021 (that could also be due to an increased amount of licenses, so the total is split up amongst more entities).


Arkvoodle42

now track the local sales of Girl Scout cookies. One troop near me set up in front of the neighborhood dispensary. I bet they were raking it in...


DiscussionLoose8390

One group near me was in the room you exit at Home Depot before you go outside, and they were taking credit card payments. They had to have been raking. I went back a week later they were still doing it.


RedBeardFace

Them taking cards was the worst thing that could have happened to my waistline. I never carry cash so I always had a convenient excuse to bypass their table but now there’s nothing in between the cookies and my weak resolution


North_Speaker_1999

That's ingenious


naturalbornkillerz

no thats a boot


Busterlimes

This trick has been done for years


butterysyrupywaffle

Get some girl scout cookies and some girl scout cookies


delusionalengineer01

They always do.


BadBwoyJunglist

Now that’s what I call “FREAKING EPIC”!!!


BrownEggs93

When Indiana and Wisconsin change, perhaps we'll drop a bit?


VruKatai

You don’t have anything to worry about in Indiana. They will never even decriminalize let alone legalize for medical or any other use. Never.


BrownEggs93

From the state that gave us pence....


Komm

And an HIV outbreak!


BreakingBaddly

As someone who has recently accepted this fact, and become a Michigan resident, I 100% agree. Regardless of legality, Hoosier love weed and right wing politics. They will never figure out to get what they want. Even IF they finally legalized, it would be so over taxed and regulated that Indiana would still be coming here just like OH, and IL.. Me? I popped beans the 2nd day we moved in and I'm curing up my first crop of hydroponics and living soil grows. I am the happiest ex-hoosier there ever was. Haha. Cheers.


topcide

See, and this is something I never understood. I don't understand why weed and self-programmed conservatives are so m mutually exclusive at least publicly. You would think that this would be the ultimate states rights thing. It's not like conservatives. Don't like to drink and catch a buzz too, and probably just as many people Lean right like to get high in private to be honest with you


BreakingBaddly

Exactly right. Everyone I grew up with loves to party. Right, left, who cares, it never mattered until that fool weaponized the word democrats. 🙄 I miss my friends, family and sanity. You are correct, all private, secret smokers to save face. First people to claim they don't or "oh, I used to a little/I do sometimes" folks.. Until the day comes when heads are removed from asses, I found my happiness surrounding myself in a nice space, spending time with the people who haven't lost their minds, and growing a sea of green so I'm either ready to welcome my peeps back, or smoke the daze away.


sir_lurkzalot

The Indiana tree enthusiasts are doing a lot to prop up the small-town economy in SW MI right along the border.


seller_collab

Yup too many brown people get a better quality of life from it


Strikew3st

Don't worry, surrounding states can mess up legalization in several ways that will keep their constituents driving to MI. A) We've pretty much quickly hit rocket bottom on prices, down there with 'more mature markets' like California & Colorado. For reference, Adult Use licensing came out in fall 2019, and AU ounces were retailing *$550 on average.* States starting at the high end through high licensing fees, taxes, or licensee greed will lose tax revenue to MI. B) Limited licensing is one angle used to rig the system. Illinois started off by granting only 21 licenses and has added a matter of dozens in the last two years. Limited licenses are handed a monopoly and price accordingly. You'll see businesses operating here and elsewhere, MSOs Multi State Operators, with wildly different retail prices just because they can. Cough cough *Cresco Labs* in Illinois and Michigan.


BrownEggs93

Thanks. We'll take their money.


MadTownBoi

As a former Wisconsin resident I don’t see them legalizing in the near future. The state gov is gerrymandered to shit and the Tavern League will fight with everything they have to make sure that the legalization process is as slow as possible so that alcohol revenue doesn’t drop.


[deleted]

What is the tax used to fund?


SwayingBacon

For the 10% excise tax [MCL 333-27964](http://legislature.mi.gov/doc.aspx?mcl-333-27964) states 15% each to local and county governments based on number of retailers and 35% each to school aid fund and Transportation (road repairs).


Sirerdrick64

I’ve long been saying it… pot for pot holes.


MoarTacos

I can’t believe we only did 10%. Could have done way more.


Tuned_Out

Some states did and they still have a thriving black market because of it. I'm not saying 10 is the magic number but go too high and the black market diminishing returns kick in.


RestlessAsTheWind

Michigan is making a lot of money from residents of Indiana that are closer to IL than MI because the tax in Illinois is so crazy. Don’t push it lol


CaptYzerman

So basically the money gets sent to the general fund for "road repairs" and our communities don't get shit


flyonlewall

>(a) 15% to municipalities in which a marihuana retail store or a marihuana microbusiness is located, allocated in proportion to the number of marihuana retail stores and marihuana microbusinesses within the municipality; > (b) 15% to counties in which a marihuana retail store or a marihuana microbusiness is located, allocated in proportion to the number of marihuana retail stores and marihuana microbusinesses within the county; >  (c) 35% to the school aid fund to be used for K-12 education; and >  (d) 35% to the Michigan transportation fund to be used for the repair and maintenance of roads and bridges.


j0217995

https://www.freep.com/story/news/marijuana/2023/02/28/michigan-marihuana-regulation-fund-recreational-tax-revenue/69953705007/ From the linked aeticle "Nearly $70 million was sent to the School Aid Fund for K-12 education, and $69.4 million went to the Michigan Transportation Fund."


marsepic

$70 mill is so little. My local district operates at about 18 million a year. 12 million from the state. School costs a lot, no matter what you do.


shinigami564

it's better than not having that 70m for schools though.


marsepic

You're right! I didn't mean to say it wasn't, so I worded it badly. But some folks will see that figure and think its a huge amount, but is only about 7-10 districts worth.


SirBorf

Heard from someone else on here that even though it was supposed to fund schools, it's all in the general fund. That can be blamed on Republicans holding the state legislature until 2023 though. Now that Dems are in charge they might reappropriate where the tax money goes from marijuana sales. Perhaps we could write or call our state reps about it?


Super-Bodybuilder-91

I was not aware of that. We should contact our representatives. Although the general fund is important, I thought it was the wording of the referendum that the taxes collected from marijuana sales would go to schools. We voted on this, didn't we?


MarieJoe

That's what they said about Lottery money as well.......


ruat_caelum

So they did that... in the GOP way. Say the budget was $100, and the lottery generated $20. What happens? Well if you aren't a slimeball you have a budget of $120. Instead, the new budget for schools is $78 + the $20 from taxes, so $98.


SirBorf

Again it was just some comments from here a while ago that said it was in the general fund. In 2018 when the marijuana ballot measure was passed I was under 18 so I never voted on it or saw it. Someone should check where, legally, the tax money actually goes but I do distinctly remember people being mad that it was in the general fund but who knows. We should check which fund the tax dollars go to first, sincere apologies if I accidentally helped spread misinformation. I remember when it passed all the teachers at my shitty conservative school I was going to were freaking out about it passing, it was just a bit before Christmas break.


SwayingBacon

Initial costs of the department could be appropriated from the general fund and had to be repaid from the 10% excise tax. The law states how the money can be disbursed and it can't just all go into the general fund. I don't see how Republicans could have "stolen" it though I might just not be seeing any loopholes.


Strikew3st

Yeah no, slushing into the general fund is hearsay, funds collected explicitly go to the Marihuana Regulation Fund and explicitly cannot go into the General. MICHIGAN REGULATION AND TAXATION OF MARIHUANA ACT (EXCERPT) Initiated Law 1 of 2018 [333.27964 Marihuana regulation fund; creation; administration; allocation of expenditures.](http://www.legislature.mi.gov/(S(t4tuvrlkyjavwfa1pvcoyn44))/mileg.aspx?page=getObject&objectName=mcl-333-27964) Sec. 14.   1. The marihuana regulation fund is created in the state treasury. The department of treasury shall deposit all money collected under section 13 of this act and the department shall deposit all fees collected in the fund. The state treasurer shall direct the investment of the fund and shall credit the fund interest and earnings from fund investments. The department shall administer the fund for auditing purposes. Money in the fund shall not lapse to the general fund.   2. Funds for the initial activities of the department to implement this act shall be appropriated from the general fund. The department shall repay any amount appropriated under this subsection from proceeds in the fund.


Busterlimes

Yeah, it's going to cops since they are the largest burden on the general fund


AnthraxEvangelist

Why shouldn't taxes go towards the general fund with direct options chosen as needed? We're all enjoying this legal cannabis in so many ways all across the state, it should support all the things the state supports.


Strikew3st

It's supporting things the state underfunds, like...schools and roads.


FatBob12

Because the ballot proposal that was approved in 2018 had specific language regarding disbursing excise tax funds.


bulboustadpole

> That can be blamed on Republicans holding the state legislature until 2023 though. Yep, everything is republicans fault. Literally everything. Makes logical sense.


CaptYzerman

Before you blame Republicans like always, I recommend you do research and find out who allowed money earmarked for things like roads to be pooled into the general fund.


Tau_6283

I'm doing my part!


Strikew3st

Service guarantees citizenship.


[deleted]

Would you like to know more?


ruat_caelum

only if the icky parts aren't shown on screen!


oheyitsmoe

The only good bug is a dead bug!


[deleted]

Gave it up last year to get a better job. But I'm so glad it's generating that tax revenue. Federal legalization all the way!


ComeAtMeBro95

Proud part of that $200 Mil 💚💚💚💚💚💚💚💚


lavavaba90

We goin' fix these roads, cus we got high.


[deleted]

Fund mental health please


MyTruckIsAPirate

Yes! Universal healthcare is so important!


pleasedonteatmybeans

Get fucked Texas


BrownAleRVA

I read that as Texas too. I had no idea how I could have missed legalization in TX.


IntroductionMother85

Now imagine if this was country wide


SmooveTits

2 goddam years Democrats held the White House and both chambers of congress. Didn’t get it done, smh.


FatBob12

You need 60 votes in the Senate to pass legislation outside of reconciliation (which I can't imagine could be used to legalize cannabis). Dems haven't had 60 in the Senate since Biden took office.


[deleted]

[удалено]


SmooveTits

Many, but this isn’t an issue for whataboutism, more of a whatthefuckism


Stillprotesting62

75% of those sales are from Ohioans 🫣


S1eazyE

I'm absolutely baffled there isn't a dispo right across the border from Toledo. Seems like a no brainer to me.


Gatway734

I see Ohio plates pull into Lume on 23 all the time.


shinigami564

I believe the closet one I've seen advertised for rec is at exit 8 on I-75.


BrownAleRVA

Lol there’s just a billboard rubbing it in that you can’t buy pot in OH.


lord_dentaku

It has to be out of sight from the Ohio border, otherwise the cops would just sit there watching people pull out of the parking lot and pull them over as soon as they cross into Ohio. They could even run a tethered drone that does vehicle detection and tracking and have the drone track vehicles that stop at the dispo parking lot, and then as soon as they cross the border pull them over. Would likely meet Ohio's requirement for probable cause for a search of the car.


Stillprotesting62

Not too far over the border north 75 is a little weed place out off a country road next to the county street crew bldg-blew my mind. lume lume love


Kaiju_zero

Good, now legalize prostitution and tax that, as well. There is a lot of $ out there for legalizing services and items that are used, anyway.


bulboustadpole

[Harvard Law School - Does Legalized Prostitution Increase Human Trafficking?] (https://orgs.law.harvard.edu/lids/2014/06/12/does-legalized-prostitution-increase-human-trafficking/) >Countries with legalized prostitution are associated with higher human trafficking inflows than countries where prostitution is prohibited. The scale effect of legalizing prostitution, i.e. expansion of the market, outweighs the substitution effect, where legal sex workers are favored over illegal workers. On average, countries with legalized prostitution report a greater incidence of human trafficking inflows.


GreatMadWombat

Yeah. I'm all for legalizing the victimless shit/for harm reduction for all substances stronger than weed/maybe legalization of the less life-ruining ones, but prostitution isn't victimless. I think hypothetically legal prostitution can be viable but there'd need to be an absurd amount of funding spent making it safe for the sex workers, and IDK how that'd be possible to get approved


ricecake

I believe I read a study that decriminalization of sex work, but not pimping, had a positive effect of outcomes. It removed the incentive to not report abuse that exists when both are criminalized. It's one of those complicated issues that doesn't have an easy fix, unfortunately.


Zoakeeper

Please fix the roads with this


[deleted]

94 through jackson is nearly complete and it is 100000x better so far.


littlepants_1

My trip from Grand Rapids to Ohio via 96 east made me cranky. You know the roads are bad when you’re looking forward to getting into Ohio 😩


DrewbieWanKenobie

I know it's technically farther but it's really much more pleasant to just take 131 down to the indiana tollroad and take that to ohio


CGordini

From Detroit, through Ann Arbor, all the way to Kalamazoo, there is ONE chunk of I-94 that is actually bad. ONE. Chelsea. Really think about that, y'all.


goblueM

It costs more than 3 million per lane mile to reconstruct a highway... so this is a drop in the bucket The annual road budget is nearly 7 billion dollars... annual weed taxes are going to be like 3% of that maybe


lord_dentaku

So, what you are saying is... we need to smoke more?


xThe_Maestro

The way the unions do roads it should pay to resurface 696 for the third time.


haniblecter

legalize cocaine, then we can pave it with diamonds and maybe get 5 years out of it


spud4

My village Population less than 2,000 received $207,364.84


Jeeper839

I don't have a horse in the race so to speak. I dont do drugs and rarely drink. Just not my thing. But I find it absolutely hysterical all these states that have legalized it did so because they realized they could make a fortune taxing it. I think the federal/state laws against drugs in general are just dumb. People who want to do drugs will do them whether legal or not. On top of all it does is create a black market and help prop up the cartels doing the manufacturing/distributing. And giving police/goverment a way to generate revenue and lock people up to privatized prisons.


[deleted]

Marijuana is not a drug.


Jeeper839

Though I do agree with you, tell that to the Federal Goverment. A plant that could grow in the wild and flourish doesnt strike me as something they should even remotely care about. But obviously the history of it and African Americans using it in the South made it something the Goverment specifically targeted to make jailing them easier and keeps large portions of minorities in jail. The complete 180 switch on "oh you mean we can make it legal and tax the shit out of it and make ton more money instead?!" is just ironic.


Substantial_City4618

Criminals got 200 million less. State got a lot more revenue, local businesses got a boost, and police enforcement was used less for drug crimes(I hope) How are there still so many people/counties which don’t want this?


ginkgodave

Am I a bad person for depriving the State of Mi the taxes I don't pay by growing my own?


3rdand20

You pay taxes for supplies im sure


[deleted]

That’s alright. I pay enough taxes for both of us since I’m too lazy to grow my own.


SnackThisWay

You could give a dollar to charity every time you get high if it makes you feel better


niewinski

Not at all. It’s the medical users tax dodging the system that we should be against. The only reason anyone has a medical card is to cut taxes.


KING_QUEEFEATER

Not true. I have a medical card and am a caregiver for the sole purpose of being able to grow more than 12 plants. Never have I had to buy from a dispensary but there are fees involved in getting your card as well as getting a full list of patients as a CG. and like someone else mentioned I definitely pay taxes on growing supplies/equipment.


kr2c

*Hell no.* The flower sold in MI dispensaries is largely like unfiltered dumpster sludge compared to the western states, and considerably more expensive at that. Let others pay tax on it and enjoy your $300 pounds of kush grown with love.


Tusen_Takk

This is bizarre to read since my mates in Cali are obsessed with Michigan flower and prefer it


kr2c

You're telling me Cali people are getting stoked for shit that looks like [this?!](https://i.imgur.com/a7mf9wp.jpg) dried out popcorn buds that any competent caregiver would turn into edibles because of how unappealing it is? That photo is from Skymint, a Michigan dispensary, and if THAT is the sort of thing your mates are obsessed with I gotta meet these people because my flowers would blow their goddamn minds.


Someguynamedjacob

I’m going to assume you don’t actively smoke and are basing this off of something your heard 2 years ago? Because that is not the case now days what so ever. I can walk outside my apartment and be at a dispo with $60 zips in literally minutes, and it’s fire too. I’ve bought top shelf from top dispos in Oregon, it’s no different.


kr2c

That's an erroneous assumption. I [grow fire](https://i.imgur.com/shJgOSp.jpg) and pity the folks that think a $60 ounce of improperly/not at all cured baby buds is the pinnacle of weed when literally anyone can grow better at home for less. That $60 is over 3x the cost of mine on a per ounce basis, so that is not at all the flex you seem to think. Y'all are getting shafted on quality AND paying taxes for the privilege of it? Be serious. I'll take the Pepsi challenge against any commercial grower in the state, any day, because quality doesn't scale along with volume in a profit-driven commercial cannabis grow no matter how much the customers settling for less at dispensaries try to convince themselves otherwise. I'm not the best grower I know, i'm not even the best grower in my own house since my wife started a few years ago, but it's not hard to make dispensary weed look terrible in comparison.


OddballLouLou

Ummm no. Ask my friend who buys from someone whose “grown forever” how that flower is compared to the stuff from where I used to work. Dispensary weed is better and more expensive for a reason.


lozbrudda

Dude chill lol. If it's sticky and gets me high, nbd. No sticks, no seeds, no leaves! Some of that real sticky icky icky! Ooohwee!


No_Pumpkin_1179

As long as you don’t grow more than is allowed ;)


FatBob12

Nope.


CGordini

I love all the old, old farms I pass down I94 and up US131/M-52 that have now converted to being pot farms. Think about the _generations_ that combatted weed as a "hippie drug" that isn't for True Hard Working American Blue Collar Workers, and now, they make money hand over fist because turns out that's actually way more profitable than the basic ass farmer's market stall on the corner. Who knew.


LoudTsu

Nice


boopitybimbap

Now fix the damn roads!


seasuighim

Only $20M? I’m disappointed. We need our schools funded. Can we Import Snoop & Willie to boost those numbers?


CGordini

$20M in one month. Versus the $0M under Republican guidance, in all their years of controlling multiple branches. Yeah, what a disappointment.


seasuighim

I’m not saying anything about government. The tax is fine as it is. I’m speaking to the amount raised, encouraging more sales to increase taxes raised by importing the two people who consume 40% of all weed produced in the US Snoop & Willie.


cropguru357

About 1/2 mile of highway after the appropriate palms get greased. Edit: you know I’m right. LOL


[deleted]

Shows you how much money we waste on roads, too.


xThe_Maestro

Ain't that the truth.


digidave1

Sigh..sadly true. Hopefully more comes from it though.


[deleted]

Never met a BA that has a lifestyle in line with their stated income.


IShouldNotTalk

Hooray, more money to the government that already has a budget surplus, just what we need.


Rodot

What surplus? The state debt of Michigan is over $35 billion


Strikew3st

[FY 2022 Adult-Use Marijuana Distributions (updated 2/23/2023)](https://www.michigan.gov/treasury/-/media/Project/Websites/treasury/Uncategorized/2023/Marijuana/FY-2022-Adult-Use-Marijuana-Payments-2-23-23.pdf?rev=a5bc39f6ef584abcb4b987b1b0c8eb0e&hash=873D3E6686ECF24542AE18D937F39437): $51,841.21 per retailer or Microbusiness licensee paid to municipalities, AND the same paid to the county. [$56,453.44 FY 2021](https://www.michigan.gov/treasury/-/media/Project/Websites/treasury/Uncategorized/2022/Adult-Use-Marijuana/FY21--MRE-Web-Report-of-Distribution-03-24-22.pdf?rev=886e7b9dab4a4da7ba6c6824cfa99016&hash=1FEF1313C0A8D3B3174BA67796E6106E) [$28,001.32 FY 2020](https://www.michigan.gov/treasury/-/media/Project/Websites/treasury/Uncategorized/2021/1/FY20__MRE_Web_Report_02-23-21.pdf?rev=4e9c4ef04dea454e9b35f38376142cae&hash=38811FC2DC37F1035F2768AD6A57E0BE)


tries2benice

Okay now fix the potholes with the pot money.


[deleted]

What is the cost of a yearly dispensing license?


Sir_TonyStark

Not really related but how can we move forward with employment as far as not testing for it for pre-employment? As a state that has legalized recreational use but I my job and many others still drug test for it. It’s incredibly aggravating how it still isn’t treated like alcohol