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Where Does Colorado Cannabis Tax Money Go?

Colorado Cannabis & The Federal Tax Code

Yes on Senate Bill 205

Protecting children and enhancing public safety by regulating intoxicating hemp products

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Colorado state tax revenue from the legal cannabis industry surpassed $2 billion in January and the state has collected more than $88.7 million in fees.

In addition to state and local taxes and fees, cannabis businesses have an effective federal tax rate of about 70% – compared to about 26% for other businesses. 

Did you know Colorado legal cannabis dispensary owners are unable to deduct normal business expenses like payroll and rent from their federal income taxes?

Marijuana has contributed over $320 Million dollars to Building Excellent Schools Today (B.E.S.T.), making up about 25% of the program's entire budget.

In FY 21-22 alone, nearly $15.3 million in state cannabis dollars went to state Affordable Housing Grant and Loans.

The Marijuana Tax Cash Fund collected $188.8 Million in FY 2021-22 alone.

In FY 21-22 alone, nearly $15 million in cannabis dollars went to the School Health Professional Grant program. 

More than $15 million in cannabis dollars went to substance abuse treatment in FY 21-22.

More than $1.6 million cannabis dollars went to the Tony Grampsas Youth Services Program in FY 21-22.

Voters in 59 of 64 Colorado counties voted no on Proposition 119 sending a clear message against raising taxes on cannabis consumers.

Unlike other legalized substances, the marijuana industry has a 97% compliance rate for unauthorized sales.

Unlike alcohol, research has proven you can only get “so high.” Cannabinoid receptors in your brain eventually prevent the body from getting further intoxicated.

Did you know? Since legalization in 2005, teen use in Colorado has remained flat and is below the national average.

According to a recent poll by the Pew Research Center, more than 90% of Americans think cannabis use should be legal.

Did you know? MIG represents more than 400 cannabis business licenses across the state.

A 2021 study found that medical cannabis use was associated with clinical improvements in pain, function, and quality of life with reductions in prescription drug use. 

Founded in 2010, MIG is the oldest and largest trade association for licensed cannabis businesses.

Colorado’s marijuana model has become the example for all other regulated cannabis states, and MIG works directly with policy makers to ensure that Colorado’s program is fair, tightly regulated, safe, and successful.

Safe Sales: Every marijuana sale in CO takes place on camera and requires multiple ID checks.

All regulated marijuana in Colorado is tracked from “seed to sale,” with oversight from the Marijuana Enforcement Division.

Established in 2010, MIG has led legislation for child resistant packaging, customer safety resources, and purchase restrictions for 18-20 year olds.

Marijuana is taxed at both state and local levels. This year Aurora built a new $34 Million dollar rec center, fully funded by local marijuana taxes.

The marijuana industry suffers from unfair Federal tax rules, which means that MIG members’ effective tax rates are around 71%.

A 2019 study showed that crime does not increase with legalization.

Conditions for medical marijuana

Cancer - Glaucoma - HIV or AIDS - Cachexia - Persistent muscle spasms - Seizures - Severe nausea - Any condition for which a physician could prescribe an opioid - Autism Spectrum Disorder - Severe pain - PTSD

Most marijuana businesses have access to banks, but because marijuana is still federally illegal, businesses are unable to access merchant processing services such as VISA or Mastercard.

Consuming higher potency marijuana does not lead to higher levels of impairment.
-- Journal of the American Medical Association (JAMA) 2020

71% of Colorado voters favor marijuana legalization. This has increased 10 points in the last four years alone.

MIG Members Working to Serve their Communities this Holiday Season

MIG Press Release

FOR IMMEDIATE RELEASE 

DATE: Tuesday, December 21st, 2021 

CONTACT: Erin McCann  

  

MIG Members Working to Serve their Communities this Holiday Season 

  

From Toy Donations to Food Drives Local Businesses are Finding Meaningful Ways to Give Back  

 

 

The Health Center and Native Roots Employees participating in local toy drives 

  

Denver — This holiday season, Marijuana Industry Group (MIG) members will be hosting a variety of charity events from toy drives to food donations to give back to their local communities. Many local legal cannabis business owners have been participating in these events for years helping families with clothing, gifts, and Christmas dinners and celebrations.  

  

“Above all, our members value the ability to act as active partners and give back to their communities,” said Tiffany Goldman, MIG Board Chair. “As a local business owner myself, I can say firsthand our annual toy drive is one of our team members favorite events and truly rewarding work. Many of our members are participating in various charities and causes all year long, and we are grateful for all they are doing this holiday season.”  

  

Below are just some of the charities local MIG members are participating in this holiday season:   

 

Silver Stem Fine Cannabis 

Silver Stem Fine Cannabis collected food donations to benefit a Thanksgiving food drive for low-income senior citizens living in Commerce City and donated $1000 to Integrated Family Community Services in Englewood for their holiday food drive. 

The Color of Cannabis 

Bgood sponsors CASA for kids wish lists and letters to Santa. Bgood is also holding a Christmas Donation Drive at Englewood & Northglenn stores to support our unhoused neighbors. The drive ends January 15th, 2022, and all donations will go to Change The Trend.  

The Health Center 

The Health Center encourages customers to bring in new, unwrapped toys of $10 value or greater for our 7th Annual Toy Drive to receive 10% off their entire purchase. Over the years we have collected over 700 toys for Academy 360 in Montbello and we hope to make it to 1000 by the end of this drive.  This year we have added a new recipient, the Southwest Denver Coalition. 

Native Roots 

An annual favorite for Native Roots Cannabis Co. employees, the Denver Santa Claus Shop (DSCS) is a nonprofit that collects and gives families the opportunity to shop for free toys each December. In November, members of the Native Roots Production team volunteered their time to bag toys in preparation for DSCS’s 91st holiday season. In December, DSCS began distributing the toys to local families, and leaders from the Native Roots Retail team were there to help!  

 

In addition to hands-on volunteering, Native Roots employees participated in two internal fundraising campaigns on Colorado Gives Day. Native Roots raised nearly $1,500 for Brothers Redevelopment, Inc. and Leaf411—two Colorado nonprofit organizations our company is proud to support!  

Holland & Hart 

Holland & Hart has a long and proud tradition of supporting organizations and individuals in our local communities during the Thanksgiving and December holidays through the Holland & Hart Foundation. As we do every year, members of the firm buy, wrap, and deliver gifts to families and children in need through programs like Angel Giving Tree, Adopt-a-Family, and the Women’s and Children’s Alliance. We also partnered with organizations that serve the homeless—through the Homeless Resource Center—and at-risk youth—through Teens Inc.—to supply outdoor survival supplies like sleeping bags, winter coats and gloves, tents and tarps, and other camping equipment. 

Veritas 

This holiday season, the teams at Veritas and Olio held a clothing and shoe drive to support The Denver Rescue Mission.  Together the brands collected more than 1,000 garments! 

Kush Gardens 

Kush Gardens helps the Town of DeBeque annually by funding and donating volunteers for a fireworks display. Kush Gardens started doing fireworks after board member Scott Elliott passed away in June of 2016.We continue to make this a tradition as it was Scott's goal to bring fireworks to the little Town of DeBeque.  

 

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