A Deal on Legal Weed in New York Has Been Reached

I just wrote earlier this week that it wasn't if New York would have legalized weed, it was when New York would have legal weed. Well, that day is another step closer after an agreement was reached today that will fast-track the legalization of recreational marijuana in the Empire State.

According to Bloomberg.com, earlier today, Wednesday, March 24th, Governor Cuomo said that an agreement was very close to happening and that the bill to legalize marijuana was one of his top budget priorities.

A few hours later it was announced that an agreement had been reached to legalize recreational marijuana for adults 21 years old and older.

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A few small details still need to be finalized, but here's the gist of the bill that will be voted on as soon as next week. The biggest part of the bill is tax revenue from the sale of marijuana and the licenses for dispensaries all over the state.

The bill includes a 13% sales tax on recreational marijuana, 9% of which would go to the state and 4% to the locality where it is sold. This is much less than proposed last year when sales tax could have been as high as 20%. The 13% sales tax is right about in the middle of the states that have legalized marijuana. Dispensaries and distributors would also collect an excise tax of as much as 3 cents per milligram of THC. Of course, THC is the psychogenetic chemical in marijuana that gives you that high feeling. So a 100mg TCH chocolate bar would cost you an additional $3.00.

New York's proposed sales tax and excise tax are less than neighboring New Jersey and about the same as Massachusetts.  Hopefully, that means that it will keep New York money in New York when it comes to marijuana sales.