Marijuana News

Washington Wants To Collect Medical Marijuana Sales Tax

December 14, 2010   ·   0 Comments

?Activists Worry It’s A Way To Open The Door To The FedsThe Washington State Department of Revenue has launched a statewide effort to collect sales tax from medical marijuana dispensaries.The department mailed letters to 90 dispensaries and “related organizations” on Friday, insisting that medical marijuana is not exempt from state sales tax — as are other medicines — and telling dispensaries they must collect that money and turn it over to the state, according to The Associated Press.The letter also warned dispensaries that they must pay Washington state’s business and occupation tax, according to Department of Revenue spokesman Mike Gowrylow.”Are sales of ‘Medical Marijuana’ subject to sales tax?” asks an informational page on the website of the Washington State Department of Revenue, and of course no time is wasted in giving the answer.”In the state of Washington, sales of medical marijuana are retail sales,” the site informs us. “As such, the seller is subject to the business and occupation (B&O) tax under the retailing classification. This is true even if it is sold by a medical marijuana dispensary.”

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