A Cannabis Tax is Proposed to Shelter the Homeless in the US

The City of Los Angeles has approved an outlay of almost 2 billion dollars to get people off the streets through a new housing project. The money will be used to build affordable homes and support services, like mobile showers. The spotlight has now turned to the tools the city has to cover this disbursement.

City Administrative Officer Miguel Santana indicated to the media that while the city's economy is booming, the authorities do not expect to have the 1.78 billion euros extra needed to finance the project.

To address these funding problems the analysts in charge have proposed a total of nine measures, including a 15% tax on the cultivation and sale of medical cannabis, which could eventually generate some 16.7 million euros annually in revenues for the city. And this sum, of course, would be multiplied if the recreational use of cannabis were legalised in the State of California.

The proposal indicated that, as marijuana is a new product on the market, it should also be included as a significant source of revenue for the government. While the idea may seem novel, several cities in California have already adopted measures to tax consumption, such as Riverside County and Cathedral City, among others.

Although the tax has not yet been approved, there is already controversy surrounding it. Patients who use marijuana for therapeutic purposes have been quick to oppose the measure, saying it will unfairly affect people who use natural substances like cannabis rather than undergo other medical treatments. There is also the risk that these types of taxes, in spite of the good intentions behind them, may drive patients back to the black market.