Overview

• A fiscal analysis projects roughly $420 million a year, with $3 million for implementation and the rest directed to a Neighborhood Road Fund.
• The 24% charge would be applied to wholesale cannabis transactions starting Jan. 1 if the bill becomes law.
• Final approval is still needed from the Democrat-led Senate and Gov. Gretchen Whitmer as negotiations continue ahead of the new fiscal year.
• Industry leaders warn the added burden on top of Michigan’s 10% excise and 6% sales taxes would force layoffs and closures and push buyers to illicit or out-of-state markets.
• Opponents argue a three-quarters supermajority is required to add a new tax under Michigan’s voter-approved marijuana law, setting up potential litigation after the House’s 78–21 vote.