Feds propose legal weed tax of at least $1 per gram

If you plan to buy legal marijuana next year get ready to be taxed

Anyone planning to purchase legal marijuana next year better be prepared to pay the taxman as well, to the tune of at least $1 for every gram — plus GST.

The proposed federal tax scheme, announced today, will be available for public comment until Dec. 7 as Canada prepares to legalize the drug by next summer.

RELATED: John Horgan blasts Ottawa’s marijuana tax grab

The plan would add an excise tax of $1 per gram or 10 per cent of the final retail price, whichever is higher, with the revenues to be divided equally between Ottawa and the provinces.

GST will be also be applied, so if the retail price of a single gram of pot is $8, consumers would pay a $1 excise tax and $1.17 in GST for a total of $10.17.

The taxes would be levied on both on fresh and dried marijuana, pot-infused oils and seeds and seedlings used for home cultivation.

RELATED: Five Things to consider about the Liberal government’s plan to legalize pot

The 50-50 tax revenue split idea has already rankled some premiers who say their governments have to do the bulk of the heavy lifting on legalization, including policing, distributing and regulating the sale of marijuana.

RELATED: Province, Feds see lots of work ahead of marijuana legalization

The Canadian Press

Just Posted

Date set for Silver Creek man’s bail ruling

Curtis Sagmoen will learn on Feb. 28 if he will be released from custody

UPDATE: Serwa second fastest in ski cross seeding

Kelowna ski cross racer has solid run in the seeding round of the women’s ski cross event

Liberals lukewarm on budget

Liberal North Okanagan-Shuswap MLAs unimpressed with NDP budget

Viper players finalists for league honours

Ty Taylor and Josh Prokop of Vernon Vipers nominated for league hardware

Overnight chill falls short of Feb. 21 records

Icy temperatures across the Okanagan-Shuswap don’t beat lows set in 1910, 1894

Thief helps himself to cash register

Vernon business asking for public’s help to identify suspect

How to keep local news visible in your Facebook feed

Facebook has changed the news feed to emphasize personal connections. You might see less news.

Team USA beats Canada 3-2 on the shootout to take home Olympic gold

Americans win their first gold medal since 1998

Two Haida men detained for crossing U.S.-Canada border

Edenshaw and Frisby travelled from Alaska to Prince Rupert for the All Native Basketball Tournament

Alberta takes out full-page ads in B.C. over strained relationship

It’s the latest move between the two provinces over progress on Trans Mountain pipeline expansion

B.C. teacher suspended over allegedly using N-word in worksheets

Trafalgar Elementary teacher under investigation by Vancouver School Board

Toddler swept away in Ontario floods

Toddler missing as flooding forces thousands from their homes in Ontario

BC BUDGET: New money helps seniors’ care shortage

Job stability for care aides key to recruitment, union leader says

Mixed messages on B.C.’s efforts to cool hot housing market

Economist says undersupply of homes in Metro Vancouver, Victoria and Kelowna will keep prices high

Most Read