according to Supervisor Raphael MandelmanThe city’s business tax suspension until the end of 2022 will help support legal cannabis retailers. He said dispensaries are struggling to compete with illegal cannabis sellers who pay no taxes. He said the legislation would help create better working conditions for cannabis workers, as well as improve the quality of cannabis on the market.
Mandelman, who wrote the bill, said the increase in theft has also created problems for retail cannabis dealers. He added that the city “needs to do more to protect these companies, their employees and their customers before we impose a new tax on them.”
Once the law goes into effect, Mandelman said his office will work with city superintendent’s office, The Treasurer office and tax collection, and the cannabis office, among other stakeholders, to analyze data on sales of the city’s cannabis business.
The goal is to provide a set of recommendations to the Board of Supervisors regarding the tax rate and structure of retail cannabis dealers. Lawmakers hope to implement a new plan for 2023.
