Feds propose legal weed tax of at least $1 per gram

If you plan to buy legal marijuana next year get ready to be taxed

Anyone planning to purchase legal marijuana next year better be prepared to pay the taxman as well, to the tune of at least $1 for every gram — plus GST.

The proposed federal tax scheme, announced today, will be available for public comment until Dec. 7 as Canada prepares to legalize the drug by next summer.

RELATED: John Horgan blasts Ottawa’s marijuana tax grab

The plan would add an excise tax of $1 per gram or 10 per cent of the final retail price, whichever is higher, with the revenues to be divided equally between Ottawa and the provinces.

GST will be also be applied, so if the retail price of a single gram of pot is $8, consumers would pay a $1 excise tax and $1.17 in GST for a total of $10.17.

The taxes would be levied on both on fresh and dried marijuana, pot-infused oils and seeds and seedlings used for home cultivation.

RELATED: Five Things to consider about the Liberal government’s plan to legalize pot

The 50-50 tax revenue split idea has already rankled some premiers who say their governments have to do the bulk of the heavy lifting on legalization, including policing, distributing and regulating the sale of marijuana.

RELATED: Province, Feds see lots of work ahead of marijuana legalization

The Canadian Press

Just Posted

Liam’s Lowdown: it’s the little things that get you

At first, the name of my column was going to be Liam’s Lament

Despite brief shut downs Revelstoke’s Downie Timber weathering the storm

The forestry industry is taking a hit across the province

Glimpses of Revelstoke’s past for Aug. 21

Glimpses of Revelstoke’s past for Aug. 21

Two musical acts playing The Last Drop on Aug. 24

See John Michael Lind and She Hangs Brightly

VIDEO: B.C. Mountie killed by drunk driver honoured by memorial playground

Sarah Beckett Memorial Playground opens with ceremony in Langford

B.C. man who died after rescuing swimmer was known for helping others

Shaun Nugent described as a dad, a coach, a hero and stand-up guy at celebration of life

B.C. RCMP plane chases fleeing helicopter as part of major cross-border drug bust

The helicopter eventually landed at a rural property near Chilliwack

Renter of torched Okanagan home a British Army veteran, new Canadian

Owen Wilson was just beginning to settle into life in Canada when the blaze occurred

Thousands cycle to conquer cancer

The 11th annual Ride to Conquer Cancer took place Saturday morning, Aug. 24 in Surrey, B.C.

PHOTOS: Brazil military begins operations to fight Amazon fires

Amazon fires have become a global issue, escalating tensions between Brazil and European countries

Racist confrontation in Richmond parking lot caught on camera

Woman can be heard yelling racial slurs, swear words at woman in apparent parking dispute

Okanagan Nation bringing overdose awareness to Syilx Okanagan communities

The Purple Ribbon Campaign for International Overdose Awareness Day is Aug. 28

Meet the Okanagan’s newest homeless outreach team

The Vernon Homeless Outreach Team makes its first formal appearance Aug. 28 at Upper Room Mission

Most Read