Lawmakers are debating tax on medical marijuana

 

Alia Beard Rau
The Arizona Republic
3/26/2010

Proposed legislation that would tax medical marijuana - if voters legalize it this fall - narrowly passed the state Senate on Thursday thanks to a split among Republicans.

The bill passed with a vote of 17-12 after five Republicans, including Senate President Bob Burns, R-Peoria, supported it. It now goes to the House for consideration.

Senate Bill 1222 would make medical marijuana subject to the state sales tax, which right now is at 5.6 percent. Most drugs and medical supplies are exempt from this tax. It would also tack on a $20-per-ounce luxury tax.

It's unknown how much medical marijuana would cost if it were legal, but DPS spokesman Bart Graves said the street value of marijuana in Phoenix is $65 to $100 an ounce.

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