4

Reader: Where Does the Tax Money Go? Up in Smoke!

Reader: Where Does the Tax Money Go? Up in Smoke!EXPAND
Unsplash/Add Weed
^
Keep Westword Free
I Support
  • Local
  • Community
  • Journalism
  • logo

Support the independent voice of Denver and help keep the future of Westword free.

Colorado had already broken all marijuana sales records by the end of November, with one month still to be counted. According to early reports from the Department of Revenue, 2020's total marijuana sales tally should land between $2.1 and $2.2 billion — easily surpassing 2019's final total of $1.74 billion.

That means the state will collect a record amount of tax money from the marijuana industry. Where does all that cannabis cash go? Readers have some suggestions — and get schooled — on the Westword Facebook page, where we posted "Colorado Marijuana Sales Broke $2 Billlion for 2020 by November."

Wonders Genishia Chuck:

Where's the tax money going, though?

Responds Dan:

It, umm, goes up in smoke.

Says Nathan: 

Yet taxes still being raised and there's nothing to show for it.

Responds Jeff: 

That's because all the tax revenue lines pockets before it goes to schools and infrastructure.

Suggests Quentin: 

Wish they’d use the marijuana taxes for the roads.

Replies Cameron: 

You realize that they have a website that shows exactly where the money goes, right?

Explains Lynn:

The first $40 million of sales tax on marijuana sales goes to Colorado schools for new construction and upgrades.

Elaborates Dave: 

Ten percent of the revenue from the 15 percent tax on marijuana retail sales is allocated to local governments and apportioned according to the percentage of marijuana retail sales occurring within city and county boundaries. The remaining 90 percent is allocated as follows:
71.85% to the Marijuana Tax Cash Fund;
15.56% to the General Fund; and
12.59% to the State Public School Fund.

Concludes Ruben:

I’d like to stay high, like the numbers.

For the record, you can find the marijuana sales-tax allocation on this Colorado Department of Education website.

Do you think the tax rate is fair? Where do you think the state should use the cash it collects from cannabis sales? Post a comment or share your thoughts at marijuana@westword.com.

Keep Westword Free... Since we started Westword, it has been defined as the free, independent voice of Denver, and we would like to keep it that way. Offering our readers free access to incisive coverage of local news, food and culture. Producing stories on everything from political scandals to the hottest new bands, with gutsy reporting, stylish writing, and staffers who've won everything from the Society of Professional Journalists' Sigma Delta Chi feature-writing award to the Casey Medal for Meritorious Journalism. But with local journalism's existence under siege and advertising revenue setbacks having a larger impact, it is important now more than ever for us to rally support behind funding our local journalism. You can help by participating in our "I Support" membership program, allowing us to keep covering Denver with no paywalls.

We use cookies to collect and analyze information on site performance and usage, and to enhance and customize content and advertisements. By clicking 'X' or continuing to use the site, you agree to allow cookies to be placed. To find out more, visit our cookies policy and our privacy policy.

 

Join the Westword community and help support independent local journalism in Denver.

 

Join the Westword community and help support independent local journalism in Denver.