Pot Revenue Is So High in Colorado, State Will Have to Reimburse Taxpayers
When Colorado decided to legalize the recreational use of marijuana, everyone expected the state’s tax revenue to increase. What they didn’t realize at the time was that the state government might actually maketoo much money. So far the state has earned over $150 million from the 30% tax on pot, which exceeded expectations.
Now they may have to pay some of that money back to the taxpayers. According to a 1992 amendment to Colorado’s constitution called the ‘Taxpayer Bill of Rights’ when the state earns more than they anticipated from a given industry, they have to return the difference to the people. When pot was first legalized the state didn’t expect a whole lot of money, so they underestimated future profits. Now they’ll have to find some way to give $50 million back to the public.