B. Clinton = Bad tax student

February 21, 2015 § Leave a comment

Bill Clinton seems to miss the depth of tax. On the death of law school tax professor, Marvin Chirelstein, Clinton’s recollection appears. Chirelstein asked Clinton “how I could be such a bad tax student and do so well in corporate finance: I said it was a lot like politics—someone’s trying to gain at someone else’s expense, and there have to be rules to avoid fraud and violence.”

If that doesn’t describe tax, I’ll hush. The history of tax has lots more violence than corporation finance, from the Whiskey Rebellion to post-Prohibition bootlegging.  And fraud a-plenty.  And, as Russell Long put it, “Don’t tax you, Don’t tax me, Tax the Man Behind the Tree.”  It’s all there. « Read the rest of this entry »

Phasing Rates In

February 21, 2015 § Leave a comment

Two recent marijuana tax bills phase in tax rates – starting small and letting rates rise.

H.R. 1014 by Congressman Blumenauer would impose a federal tax starting at 10 percent and rising to 25 percent. A bill in Massachusetts by Representative Rogers and 11 others would tax bud starting at $10 and ounce and rising to $50. A similar increasing rate applies to concentrates.

That’s one of five ways listed in the RAND Report for marijuana tax laws to react to the pre-tax price collapse that’s coming.  See pages 88-93.

Grower Quotas

February 18, 2015 § Leave a comment

Folks studying marijuana legalization are thinking that letting all growers grow all they want might lead to overproduction. So growers might get quotas. But who would decide what quotas growers get, and how? “On the merits,” on the basis of perceived strength of application? (Watch out for cronyism.) Lottery? History of production? That’s the method used in the 1930s for tobacco.

Folks interested in this problem might read:  Prosperity Road : the New Deal, tobacco, and North Carolina / by Anthony J. BadgerChapel Hill : University of North Carolina Press, c1980. « Read the rest of this entry »

Hijacked Trucks

February 18, 2015 § Leave a comment

Testimony 16 Feb.  https://olis.leg.state.or.us/liz/2015R1/Downloads/CommitteeMeetingDocument/46117 — 1:20:40

Oregon Statement

February 16, 2015 § Leave a comment

Here is my statement for the Oregon State Legislature’s Joint Committee On Implementing Measure 91 tonight: Oglesby Testimony Oregon 16 Feb 2015

Climbing indexed gas tax

February 12, 2015 § 1 Comment

In light of the suggestion in the RAND Report for Vermont of increasing tax rates on legal marijuana, it’s heartening to see Congressman Earl Blumenauer’s gasoline tax bill — https://www.congress.gov/bill/114th-congress/house-bill/680/text — taxing by the gallon, with year-by-year rate increases.  The Reports suggests taxing marijuana by weight or potency — which is like volume (gallons) for gasoline.  Here are Mr. Blumenauer’s rates for gasoline other than aviation gasoline–

“(I) for tax imposed before 2016, 18.3 cents per gallon,

“(II) for tax imposed during 2016, 26.3 cents per gallon,

“(III) for tax imposed during 2017, 30.3 cents per gallon, and

“(IV) for tax imposed after 2017 and before 2028, 33.3 cents per gallon,”.

And there is indexing for inflation: « Read the rest of this entry »

Washington State marijuana tax collections

February 10, 2015 § Leave a comment

Washington State collects a 25 percent tax from processors/producers and another 25 percent tax from retailers.

So far, the retail tax brings in some 64 percent of the total from all those taxes;  the ratio of the retail tax to the other taxes is 1.57 to 1. « Read the rest of this entry »

Follow

Get every new post delivered to your Inbox.