Today, the Colorado Senate passed SB18-088 on third reading, sending it to the House where it is expected to pass.
SB18-088 fixes an error in last year’s SB17-267 which inadvertently eliminated taxes on cannabis in special districts.
267 exempted the state sales tax of 2.9% on cannabis sales an instead placed a 15% tax on all retail sales.
88 corrects the mistake of 267 by adding taxation from special districts to retail cannabis sales.
Colorado’s Taxpayer Bill of Rights (TABOR) prevents the Colorado Legislature from enacting new taxes without a vote of the people.
88 passed on a vote of 24 to 10. More info can be found here.
The ten legislators who voted no did the right thing.
The 24 who voted yes just voted to raise the price of cannabis and by doing so, violated the State Constitution.
Today’s votes are as follows:
Martinez Humenik Y
Neville T. N
Williams A. Y
Video of yesterday’s debate:
More information from The Denver Business Journal:
Regional Transportation District trains, Scientific and Cultural Facilities District museums and other beneficiaries of special-district funding soon will be on a path to again receive the revenues from retail marijuana sales that they’d been losing since July.
Colorado senators on Tuesday approved a “fix” for the language that has left those districts unable to collect sales taxes for cannabis sales within their district since shortly after an omnibus funding bill from the 2017 session was signed into law. Affected organizations have warned that while the problem has not led to program cuts yet, it could do so in the future if it’s not remedied.
The fix to the error made in Senate Bill 267 is not one with unanimous support, having passed to the House Tuesday on a final vote of 24-10. Republican leaders warned not only that they feel the bill is unconstitutional, but that districts that re-start the collection of marijuana taxes without a vote of the people may be challenged in court.