With less than a month before recreational marijuana sales begin in Nevada, the back-and-forth over the proposed recreational sales tax may be over. Two prior failed attempts required revisions to be made on Senate Bill 487. A compromise was finally reached late Sunday night.
The Senate approved the revised bill on Sunday, according to Las Vegas Review-Journal. The Assembly passed the bill on Monday, the last day of the state’s legislative session. To pass the bill, it required a 2/3 majority vote.
Republicans were holding up the progress of Senate Bill 487 because there wasn’t an agreement on funding the Education Savings Account (ESA). That funding would help parents afford tutoring, tuition for private schooling and books. A bit of back and forth between Republicans and Democrats regarding the ESA made it hard to come to an agreement.
Republicans accused Democrats of going back on a deal to include funding for the ESA. Other portions of the bill were not passed previously due to a refusal to vote.
Without the inclusion of the ESA funding proposal, lawmakers revived the bill and passed the necessary tax bill. They received the required amount of Republican votes.
Recreational marijuana taxes will be:
- 10 percent on recreational sales
- Revenue deposits into the state general fund
- Medical marijuana will be taxed at the 15-percent wholesale tax on recreational cultivators
- Businesses selling both recreational and medical marijuana will have to separate plants
- Local business licensing fees can’t be more than 3-percent of its gross revenue.
Assembly Bill 422, regarding medical marijuana, is also awaiting Governor Sandoval’s signature.
The key pieces of Assembly Bill 422 include:
- Department of Taxation to take over the medical marijuana program
- No medical marijuana vending machines
- Increase card validity time
- Reduce medical marijuana card fee to $50
- Encourage diversity in business licenses
Senate Bill 344, placing restrictions on edibles packaging and advertising, has been sent to the Governor’s desk.
Governor Sandoval intends to sign at least Senate Bill 487 into law.