Washington Bill Would Increase Taxes on High THC Products

Washington lawmakers are considering raising taxes on highly potent cannabis products, proposing a 50% tax rate for products containing between 35% and 60% THC and a 65% tax rate for products exceeding 60% THC.

Full story after the jump.

A bill proposed in Washington state would significantly increase the tax on cannabis products depending on THC concentrations, FOX 13 reports. Under the proposal, cannabis excise taxes would be restructured into three rates based on product type and THC concentration.  

The measure would also limit the purchase of high-THC products to individuals aged 25 and older. 

Under the bill, a 37% tax would be imposed on flower and concentrate products with THC concentrations less than 35%; a 50% tax would be added to flower and concentrate products with THC levels between 35% and 60%; and a 65% tax would be included on the sales of flower and concentrates with THC levels higher than 60%. 

Rep. Kelly Chambers (R) said that since Washington legalized cannabis for adult use a decade ago, “the market has driven the demand for higher-potency products.” 

“So, that’s why they are very popular, and they are out there. At the same time, we want to maintain that public safety.” — Chambers via FOX 13  

Adan Espino, the executive director of the Craft Cannabis Coalition, told FOX 13 said the high taxes give the organization “heartburn and worries” because they could just drive people into the unregulated market. He noted that high THC cannabis products “should not be in the hands of youth or minors and … when used improperly … can certainly cause harm.”    

The measure is currently in the House Regulated Substances & Gaming Committee.

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