My state of North Carolina is considering a Taxpayer Bill of Rights, like Colorado has. Some current Legislators want to tie the hands of future Legislators, who might be of the other party. Well, from the Denver Post, here’s the kind of crazy outcome that leads to:
Colorado will repeal sales taxes on marijuana Sept. 16, thanks to a quirk in its constitution.
The one-time-only holiday from the 10 percent state sales tax on recreational pot is likely to generate buzz in the first state in the nation to legalize marijuana.
The little-noticed provision is part of a larger bill that Gov. John Hickenlooper signed into law Thursday that includes a ballot initiative in November and a permanent tax cut on recreational pot sales in 2017.
“This fiscal glitch that we have with the constitution … that’s part of the magic of living in Colorado,” the Democratic governor said.
The impetus is the Taxpayer’s Bill of Rights, a measure championed by conservatives. The constitutional provision requires voters to approve new taxes based on estimates of collections and state spending. If the actual amount exceeds the estimates, refunds are necessary.
Colorado isn’t collecting more pot taxes than expected — actually, the amount is far less than projections — but total state spending exceeded initial estimates because of the improving economy.