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Officials: Growers Bogarting Taxes Owed To California

Jeff Chiu / File / AP

This Feb. 1, 2011 file photo shows medical marijuana clone plants at a medical marijuana dispensary in Oakland, Calif.

Jeff Chiu / File / AP

The California Board of Equalization says the medical marijuana industry isn't paying the taxes it owes.

The Board of Equalization staff and board members -including George Runner recently met with marijuana dispensaries, nurseries, and growers in Humboldt County.

Runner says the County has begun to add marijuana growers to the tax rolls by establishing a permitting and licensing process.

"They've got concerns with water permits, with business licenses with seller's permits and Humboldt County is doing good work trying to figure out how to bring those people into the normal business stream."

Runner says he would like to see a similar state-wide system established by the end of this year, especially with a recreational marijuana measure on next year's ballot.

"If we cannot put into place an effective system now to figure out how to collect taxes, how taxes are dealt with within medical marijuana, how will we ever be able to do it if indeed the people of California vote for the full recreational use."

Voters passed medical marijuana Proposition 215 in 1996.


Bob Moffitt

Sacramento Region Reporter

Bob is the Sacramento Region Reporter. He has been at the forefront of the coverage of the Sacramento Kings' saga and the effort to build a new arena in Sacramento. He also covers education, business, environment, and sports stories.   Read Full Bio