TIRED OF HIGH TAXES?
ADULTS WHO USE MARIJUANA ARE WILLING TO
PAY TAXES FOR THE PRIVILEGE.
WE WILL OBTAIN $75 BILLION IN TAX RELIEF
OVER 5 YEARS, FEDERAL, STATE & LOCAL,
WHEN WE REGULATE AND CONTROL MARIJUANA.
The Federal deficit for 2005 is projected at $368 billion. Federal, state and
local governments are cutting back services. Essential government programs --
roads, schools, police -- are being slashed across the country. Lack of revenue
endangers America's future and its health and safety. Adult marijuana users can be taxed. Stop sending marijuana users to prison and let them pay taxes and contribute
more to society.
In 1933, alcohol prohibition was ended, in part, to raise taxes to fight the
In 1933, tens of thousands of legal jobs were created almost instantly.
In 1933, America's violent crime rate started a steep decline, and organized
crime started losing power.
The U.S. Treasury got $13.1 billion from low alcohol & tobacco taxes in 1999.
IT'S TIME TO CONTROL AND REGULATE MARIJUANA AND KEEP IT OUT OF THE HANDS OF
* MARIJUANA TAXES WILL REDUCE YOUR TAXES.
* MARIJUANA TAXES WILL PAY FOR SCHOOLS, POLICE, HOSPITALS AND HIGHWAYS.
* MARIJUANA TAXES WILL PAY TO PROTECT PUBLIC SAFETY.
* WITH PROPER REGULATION WE CAN AVOID THE MISTAKES MADE REPEALING ALCOHOL PROHIBITION.
WE CAN RESTRICT AVAILABILITY AND PROMOTION OF USE TO CHILDREN.
STOP WASTING MONEY FIGHTING ADULT MARIJUANA USERS.
* OVER 755,000 MARIJUANA USERS OR GROWERS WERE ARRESTED IN 2003, 45% OF ALL DRUG
ARRESTS (FBI Uniform Crime Reports, 2003).
* MARIJUANA PROHIBITION DOESN'T WORK. 19.5 MILLION USE MARIJUANA ANNUALLY.
* APPROXIMATELY 13 MILLION ADULTS USE MARIJUANA EACH MONTH (SAMSHA, 2004).
Accompanying this page is a mock marijuana license. It illustrates a restrictive-type of marijuana taxation for adults.
License Revenue: $1.3 billion. Estimates: 7 million adults will get possession licences; 3 million adults will
get cultivation licenses. That will raise $1.3 billion in federal user fees
yearly. 3 million adult monthly users and 5 million adults using less frequently
than monthly will fail to obtain licenses.
Excise Tax Revenue: $3 billion. Assume a $100 per ounce federal excise tax on retail marijuana sales.
Monthly users: Estimates: 10 million adults using monthly will buy taxed marijuana. Averageconsumption
of 18 joints per month.* Average joint weighs 0.0136 ounces.* (*Abt Associates/ONDCP
White House estimates, 1997). Monthly user consumption, 29,376,000 oz. annually.
Less frequent users: Estimates: 5 million adults use marijuana less frequently than monthly with
estimated average consumption of 12 joints per year. Less frequent user consumption,
816,000 oz. annually. Total annual consumption: 30,192,000 oz. yields $3 billion in federal excise tax.
Enforcement Savings: $11 billion annually.
State marijuana enforcement expenditures: Marijuana enforcement is about 20 percent of state drugenforcement activity.
Approximate savings: $6 billion annually.
Federal marijuana enforcement expenditures: Marijuana enforcement is about 30 percent of federaldrug enforcement activity.
Approximate savings: $5 billion annually.
The Office of National Drug Control Policy at the White House estimated the
value of U.S. marijuana retail purchases at $10.5 billion in 2000. Another report
estimated the entire business as $67 billion per year. Hundreds of thousands
of people work in this business. But none of this business or income is taxed!
The only effective way to control marijuana use and cultivation is through taxation.
Send a letter, and this mock marijuana license, to the President, the Treasury Secretary, and Congress. Tell them, "Tax and Regulate
marijuana.Require responsible adults to pay marijuana taxes. Let adults grow
their own marijuana. They will stop patronizing criminals. Adopt comprehensive
regulations to prevent advertising and prohibit sales to children. We can stop
polluting public lands, stop importing foreign marijuana and improve the national
Marijuana prohibition strengthens organized crime, supports violence, and corrupts
the police, prosecutors, judges, and jailers. Locking up marijuana users and
growers wastes resources better spent fighting predatory crime.
This mock license was developed to help educate taxpayers and government officials
about one approach to reduce prohibition-related crime. Download your free copy
of "The Businessperson's Guide to the
Drug Problem", or email firstname.lastname@example.org for a copy. For more
THE CRIMINAL JUSTICE POLICY FOUNDATION
8730 Georgia Avenue, Suite 400
Silver Spring, Maryland 20910
April 25, 2005