University of Connecticut Report: Projecting Economic Impacts of Legalizing Marijuana In Connecticut

3d
2m read
Summary

Including indirect and induced impacts, CCEA predicts total state tax revenues reaching $235-$314 million in the fifth year. Aggregate new state tax revenues over five years range from $784 to $952 million (See Table 6). Two scenarios then consider how the state spends the new tax revenues to project the range of likely outcomes. Consumers would both be less likely to buy in-state legal marijuana and less likely to move consumption to legal purchases. Higher impacts result if the state chooses to expand or preserve services in the face of impending fiscal challenges (see Table E-1 below).

Article Preview

Here’s the Executive Summary……..

Core findings: CCEA projects, depending on which tax regime Connecticut adopts and how the state chooses to spend those new revenues, legalization generating direct state tax revenues growing from the range of $35-$48 million in the first year of operations to $188-$223 million in year five. Including indirect and induced impacts, CCEA predicts total state tax revenues reaching $235-$314 million in the fifth year. Aggregate new state tax revenues over five years range from $784 to $952 million (See Table 6).

In addition, direct local tax revenue is projected at $71 million over five years, with $21 million...

Read the full article @ Cannabis Law Report