Comptroller's Office: Legalizing Marijuana In NYC Would Yield $431 Million Annually In Savings And Revenue

Thursday, 22 August 2013

New York, NY: Regulating and taxing marijuana for New York City residents age 21 and over would yield an estimated $431 million in annual savings and revenue, according to a report released last week by the New York City Comptroller's Office. The mission of the Comptroller's Office is to ensure the financial health of New York City by advising the Mayor, the City Council, and the public of the City's financial condition.
The report, entitled "Regulating and Taxing Marijuana: The Fiscal Impact on NYC," estimates that regulating and taxing the commercial production and retail sale of cannabis to adults would yield an estimated $400 million annually. This figure is based on existing estimates regarding cannabis' present market price and demand in New York City, as well as by calculating the imposition of an excise tax (on commercial production) and a sales tax (on retail sales).
Authors further estimate that $31 million dollars would be saved annually by eliminating citywide misdemeanor marijuana possession arrests [NY State Penal Law 221.10 - possession of any amount of cannabis in public view], which in recent years have totaled approximately 50,000 arrests per year - largely as a result of law enforcement's aggressive use of 'stop-and-frisk' tactics. Persons arrested are often under age 25 and disproportionately are people of color. Combined, blacks and Hispanics make up 45 percent of marijuana users in New York City, but account for 86 percent of possession arrests, the Comptroller's report found.
Continues at norml.org