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

Former Westshore Rebels kicker is traded in free agency

Quinn van Gylswyk finds a new home with the Montreal Alouettes.

Foot found near Victoria belonged to missing Washington man

No foul play suspected in death of Stanley Okumoto, 79

Centre gives breast cancer patients new outlook on life

The Victoria Breast Health Centre at VGH connects patients to services

Greyhound cleared to end routes in northern B.C., Vancouver Island

Company says nine routes have dropped 30% in ridership in last five years

Snow cancels, alters transit routes across Greater Victoria

Buses will not be stopping on steep hills, says BC Transit

B.C Games athletes head up to Kamloops

Athletes representing Zone 6 will start competition on Friday

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

Inside the Olympic performance of the Island’s Teal Harle

Islander finishes fifth in Olympic Men’s Slopestyle final in Pyeong Chang

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

Questions raised over B.C. NDP’s childcare budget plan

Advocates concerned how to fill 22,000 new spaces for early childhood educators

Most Read