California Consumers’ Spending Up
February 25, 2018
Cannabis Jobs, Growth, and Tax Revenue After the Trump Tax Reform
March 4, 2018California Consumers’ Spending Up
February 25, 2018Cannabis Jobs, Growth, and Tax Revenue After the Trump Tax Reform
March 4, 2018
- As more revenue is generated in the legal cannabis, there will be more jobs created, and more business and payroll taxes generated for the federal government.
- Roughly 200,000 jobs exist in today’s legal cannabis market (i.e., growers, processors, wholesalers and retailers), not including ancillary businesses.
- By 2025, projections anticipate 630,000 industry-specific jobs
- Total estimated revenue at the federal level (payroll taxes plus roughly equivalent business taxes) is $2.9 billion for 2017, $3.1 billion in 2018, and reaching $6.7 billion by 2025. Taxes factor in higher effective 280e tax rates for cannabis businesses.
- Total estimated federal revenues between 2017 and 2025 are in the cumulative range of $44 billion: While many assumptions supply that total, the data reflects New Frontier Data’s refreshed 2018 forecast and the impacts of the Trump tax cuts.
