Legal battle brews over Michigan’s new marijuana tax

Main Hemp Patriot
1 Min Read

Michigan’s leading cannabis trade group on Tuesday filed a lawsuit challenging the new 24% wholesale tax Gov. Gretchen Whitmer recently signed into law.

The lawsuit, filed in the state Court of Claims by the Michigan Cannabis Industry, seeks to block the tax, scheduled to take effect on Jan. 1, and asks the court to declare it unlawful, according to MLive.com.

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The tax emerged from bipartisan budget negotiations between the Republican-controlled House, the Democrat-majority Senate and the governor, who earlier this year proposed a 32% wholesale marijuana tax aimed at raising $470 million for road repairs.

The reduced tax is expected to generate $420 million for road work.

“The 24% wholesale tax on cannabis passed by the Michigan Legislature and signed into law by

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