“an independent California cannabis tax expert . . . said that . . . the city (Lemon Grove) could bring in $560,000 at 4 percent and $1.12 million at 8 percent.”
$560,000 X 2 = $1.12 million.
So if the city taxed it at 16%, they would bring in $2.24 million, and if they taxed it at 32%, they would bring in $4.48 million, and if they taxed it at 64%, they would bring in $9.96 million?
Well, there wouldn’t be a huge drop-off going from 4% to 8%, but there would be at least SOME bit of migration to the black market and to lower-tax jurisdictions. So revenues would not exactly double. They’d be less.
Close enough for government work?