Abstract
The war on drugs in the world is one of the expensive battle that incorporate legal, social, and financial reasons. It is worth noting that marijuana is one of the debatable issues in the world. The legalization of marijuana is one of the controversial issues based on the variation of opinions from one state to another. Marijuana is one of the top selling agricultural products in most states. Regardless of legalization or illegalization of marijuana, the product is still sold to the high number of customers. Marijuana should be taxed like any other product in the market so as to make it difficult for responsible stakeholder to repeal legalization. Taxation is marijuana should be implemented because it is a way of advancing marijuana reforms in the world. In my opinion, marijuana should be taxed.
The war on drugs in the world is one of the expensive battle that incorporate legal, social, and financial reasons. It is worth noting that marijuana is one of the debatable issues in the world. The legalization of marijuana is one of the controversial issues based on the variation of opinions from one state to another. States that have legalized the marijuana focus on taxing the drug for many reasons. As a matter of fact, it does not make any sense to tax a product that is illegal; hence, the issue of taxation of marijuana begins with its legalization. Scholars have raised diverse issues in relation to taxation of marijuana, while others have totally disagreed with the process of taxing marijuana. Marijuana taxation is a process based on the variation of opinions in society. Some states have legalized marijuana, while other has made it illegal. This has become a problem based on the fact that selling of marijuana has no boundaries, and drug cartels will sell it to states regardless of how illegal the product is. In the general perspective, marijuana should be taxed like any other legal product in the world.
Marijuana is one of the top selling agricultural products in most states. Regardless of legalization or illegalization of marijuana, the product is still sold to the high number of customers. The demand of marijuana continues rising regardless of its illegalization in the region. This should actually be an eye opener for many states who are still struggling to make marijuana illegal. There are various benefits of marijuana, especially in relation to the medical field (Beau 5). Marijuana has been proved to have various medicinal benefits, which include treatment of AIDS, cancer and glaucoma. Therefore, it does not make any sense to illegalize the drug yet it serves the society on a positive note. The aspect of taxation arises based on that fact that marijuana is used for medicinal purposes. All other medicinal drugs are taxed, and marijuana should also be taxed.
Taxation of marijuana needs to be carried out using legal channels of tax collection. In order to follow legal channels of tax collection, marijuana should be legalized. For example, the state of California began the process of taxation of marijuana by making the product legal. Studies show that consumption of illegal substance such as marijuana makes millions of dollars to criminals (Morgan 35). Such resources should be earned by the government and used for economic development. Selling marijuana in the street just like any other product will earn a lot of new revenues. In the real sense, the government and the people have the power to transfer revenue from the hands of organized criminals to public use.
The system of taxation should actually replace marijuana prohibition system. The government spends billions of money in ensuring that the prohibition of marijuana laws is enforced in the streets. These resources could be used for other economic development, and in addition, collect revenue through a legal stem of taxation (Peters “A Look at Taxing Marijuana”). Illegalization of marijuana is a burden o the taxpayer and the government. Therefore, marijuana should earn the government revenue through taxation instead of taking away revenues from the government through prohibition law.
Marijuana should be taxed like any other product in the market so as to make it difficult for responsible stakeholder to repeal legalization. It is evident that no leader would want to generate a loophole in the local budget. If marijuana is a revenue generator, then the responsible stakeholders will not repeal the law. Therefore, taxation of marijuana will probably be a major boost to the government. The public is always on the look on how their revenue is used. If legal marijuana is not taxed by the government and drains away state coffers based on regulating the legal marijuana policy, the public will turn against legalization (Morgan 46). Hence, taxation of marijuana is essential so as to maintain the legalization policy and provide a guarantee for people that third revenue is utilized well.
Taxation is marijuana should be implemented because it is a way of advancing marijuana reforms in the world. It is worth noting that taxation of marijuana in states that have legalized the substance is an indicator of how the state can progress. The best way to encourage other nations to legalize and tax marijuana is by proving that the product outcome is positive. Having legal marijuana to be a drain to the budget will make other nations be less open to the issue of legalizing marijuana.
Legalization of marijuana in various states has to be regulated, enforced and maintained. This process is carried out by the government at a cost, and someone should pay for this costs incurred. In logical terms, the consumers of marijuana should actually pay for the regulation of the product. This is achieved through taxation of marijuana in the market. It is unfair and irrational to make all the people cover the burden of regulating marijuana. Legal marijuana should be taxed to cover the cost of regulation and earn the government some revenue.
Marijuana should be taxed heavily. This is one of the strategies to regulate legal marijuana. Too little taxation of marijuana means that the minor will afford to buy the product, and the public will go against the legalization of marijuana. Too much taxation of marijuana will ensure that few people get hold of the product.
In the 21st century, the work has become a global village based on advancement of technology and communication systems. This means that regulation of marijuana is very complex, especially for states that have legalized it. It will make no sense to tax a product in one state, yet the same product will migrate to another state where the product is illegal and untaxed. Logically, there will be conflict of interest among those dealing worth drugs. Individuals selling marijuana would prefer migrating and selling the product in a state that is illegal so as to earn more money (Peters “A Look at Taxing Marijuana). The regulation laws will be out of hand and marijuana will migrate to other states. The issue of marijuana legalization and taxation should be a global issue rather than a state issue. Marijuana will still fall in the hands of minors if the drug is not taxed in some states based on difficulties in implementing regulation policies.
Based on the forces of demand and supply, legalization of marijuana legalization will mean that supply and demand will change. The risk of consuming the produced will be reduced when the product is legalized, and demand will increase. Increase in marijuana consumption will cause a lot of damages to the community, especially on health. Due to the increase of demand it is realistic for the government to tax marijuana. Taxation of marijuana will enable the government to control the quantity of the product consumed. The government can either increase of decrease taxes depending on the situation in the community. Therefore, taxation of marijuana makes a lot of senses since it will regulate legal marijuana in the market.
Studies show that the price advantage will lead to the development of illicit and black markets. The taxation of marijuana will guarantee the customer quality, legal, and reliable supply of marijuana in the market. The government through taxation and regulation policies will push out the illegal dealers of marijuana. The taxation of marijuana should not be discriminatory, this is because it may cause arbitrage in the market. If the government decides to allow individual with medical recommendation to buy marijuana tax-free market arbitrage will develop. In the recent past, the states that have legalized marijuana have dealt with various challenges in relation to medical marijuana (Beau 12). Medicinal marijuana is the subject of tax, but this has raised a lot of controversies.
It is worth noting that marijuana is just like any other substance in the market. If a substance has ben legalized then, it should be subject to taxation. S For example, Tobacco and alcohol are substance that are legal in society, and are taxed. Therefore, marijuana is not unique in any way for it to remain untaxed. Taxation will probably earn the state a lot of revenues. Taxation of marijuana will increase security and people will consume it freely, leading to increase revenue. Taxation of marijuana is not easy but with policies in place it will probably be possible. In general view, if marijuana has been legalized, then it should probably be taxed like any other substance in the market.
Works Cited
Beau, Max. Medicianal Marijuana. London: Wadsworth, 2010
Morgan, Kayla. Legalizing Marijuana. Edina, MN: ABDO Pub. Co, 2011. Print.
Peters, Jeremy. A Look at Taxing Marijuana. The New York Times, 2012
