Monday, March 16, 2009
The California Marijuana Bailout
No, the state of California is not bailing out the marijuana industry. But it may be vice versa (no pun intended). State assemblyman Tom Ammiano has introduced a bill that would legalize marijuana and implement a state sales tax on the weed. It may be hard to believe but pot is reportedly the largest cash crop in California with supposedly $16 billion in sales, and could generate billions in tax revenue for the state. California is currently received sales tax from the $200 million in medical marijuana sales.
Is there an investment play on marijuana? You can always check out the previous article on marijuana stocks. Unfortunately, these are very speculative and mostly low cap plays.