California’s New Cannabis Taxes to Impact the Legal Cannabis Market Negatively
With taxes set to increase across California on legal cannabis in 2020, many are concerned with the impact on the industry. Will it mean driving more sales to black market dealers? In a Fox Business story video, Steve DeAngelo, co-founder and chairman of Harborside, a California dispensary, says he believes it will.
The proposed taxes will raise the sales tax on cannabis to over 40% over most of the state. This, coupled with a difficult licensing process and strict regulatory framework, is feared to drive prices of legal cannabis so high that west coast cannabis consumers will once again resort to purchasing cheaper weed from the black market.
The story also touches on the recent FDA movement on CBD, which remains a gray area because of a clear lack of direction from the agency.
Original Story: https://video.foxbusiness.com/v/6110469175001/