Expert: Federal Law Will Hamper States’ Efforts To Tax Marijuana

0 Shares

Federal law will hamper states' efforts to tax marijuana, expert says As the debate continues on legalizing and taxing marijuana in the climate of growing budget deficits, a Vanderbilt University Law School professor has said that although the proposal sounds simple, there are too many legal hurdles for it to work.

In a new paper, professor Robert Mikos wrote that the federal ban on marijuana would cripple a state’s ability to collect taxes because it encourages marijuana distributors to remain small and continue to operate underground. Moreover, it prevents states from being able to monitor or tax the distributors.

Mikos also pointed out that even if states could successfully monitor marijuana distributors, any information they collected could be used by federal law enforcement to prosecute dealers.

"Federal law enforcement officials could use any information the states gather to track down and sanction marijuana distributors," he said, adding that "the federal ban would thus encourage distributors to evade state tax collectors."

According to Vanderbilt University, activists in states such as California who advocate legalizing marijuana claim the move could generate more than a billion dollars and save millions more by reducing law enforcement costs on prohibition enforcement.
ADNFCR-1961-ID-19664991-ADNFCR

Personal Liberty

Special To Personal Liberty

You Sound Off! is written by our readers and appears the last Wednesday of each month. If you would like to submit an article or letter to the editor for consideration for You Sound Off!, send it to yousoundoff@personalliberty.com by the Friday before the last Wednesday of the month. To be considered, a submission should be 750 words or less and must include the writer's name, address and a telephone number. Only the writer's name will be published. Anonymous submissions will not be considered.

Join the Discussion

Comment Policy: We encourage an open discussion with a wide range of viewpoints, even extreme ones, but we will not tolerate racism, profanity or slanderous comments toward the author(s) or comment participants. Make your case passionately, but civilly. Please don't stoop to name calling. We use filters for spam protection. If your comment does not appear, it is likely because it violates the above policy or contains links or language typical of spam. We reserve the right to remove comments at our discretion.