Politics & Elections

No, we can-not, say voters; cannabis tax falls short

CANNABIS sales tax Measure A fell short in Huntington Beach (Shutterstock).

With the final unofficial results out from the Orange County Registrar of Voters, a proposal to allow the City of Huntington Beach to levy a sales tax on cannabis products has gone down to defeat.

The early returns on Measure A from the June 7 balloting showed proponents of the tax to be close to winning, trailing opponents by a  few votes.

But as more votes were counted – including those who submitted their completed paper ballots in “drop boxes” – the measure failed to achieve the two-thirds majority required for a special tax in California.

According to the Registrar’s office, “yes’ drew 27,066 votes, or 64.93 percent. “No” votes totaled 14,621, or 35.07 percent. Two-thirds would be 66.667 percent.

Measure C would not have legalized the sale of cannabis-related products in “Surf City” but would have been a first step in that direction. While California has legalized the sale of “pot,” cities retain the right to accept or prohibit such businesses.

Money from the sale of marijuana-based goods has been touted as a way to raise funds for city treasuries. Officials in Stanton and Westminster have expressed an interest in such efforts.

Measure A would have allowed the city to impose a tax of 6 percent on gross receipts of cannabis retailers and up to 1 percent on gross receipts on “all other cannabis business.”

1 reply »

  1. I do not support a tax on pot per se but a sales tax maybe enforceable. Just like the sale tax on cigarettes.

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