The Tax Man Comes For State Medical Marijuana Shops

The state has begun an effort to collect sales tax from medical marijuana dispensaries, The Associated Press reports.

State officials, facing a $4.7 billion deficit for 2011-13 and needing about a half-billion dollars in extra cuts to the current budget, are looking for money any place they can find it.

The Washington Department of Revenue launched the statewide medical marijuana effort. Spokesman Mike Gowrylow told The AP the department mailed letters to 90 dispensaries and related organizations on Friday, saying medical marijuana is not exempt from state sales tax and dispensaries must collect that money and turn it over to the state. The letter also warned them that dispensaries must also pay the state business and occupation tax.

On Tuesday, Gov. Chris Gregoire announced her latest money-saving effort, reducing the number of state agencies and commissions. Gregoire, who on Monday announced steps to rein in state worker pensions, will unveil her next two-year budget on Wednesday.


NewsHawk: Ganjarden: 420 MAGAZINE
Source: Seattle pi
Author: Chris Grygiel
Contact: Seattle pi
Copyright: 2010 Hearst Seattle Media, LLC
Website: The Tax Man comes for state medical marijuana shops
 
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