The City of Los Angeles Has Racked Over 2 Million in Permits to Sell Marijuana

The city of Angels has made over $2.35 million from companies applying for temporary permits to sell recreational marijuana.

The revenue is for the application fees by itself, 112 marijuana business received short-term license to sell marijuana in the city. Less than half that was approved also obtained a separate state license needed to sell bud in the city. 47 businesses in total are now licensed by the state and city to sell recreational use in the city of LA.

Los Angeles city officials estimated that recreational sales will generate over $100 million in tax revenue yearly. Marijuana business taxes will not be fully collected until July 2018, but those funds, along with the money brought in through the application fees.

Buyers are seriously facing plenty of additional fees. Here are where all of the fees are going:

State Collects 15% excise tax on recreational marijuana sales.
The city of LA is also implying a separate 10% business tax.
That is on top of the countrywide 9.5% sales tax.


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