Colorado Prepares Itself For Green Wednesday

The prospect of buying tax-free pot has the state’s drug users gearing up for a shopping spree and has prompted dispensaries to offer deep discounts reminiscent of traditional retailer’s Black Friday deals. With the holiday just under a week away, Colorado’s pot scene is already preparing.

Tax Glitch Green Wednesday is the result of a loophole in the Colorado tax law which requires the state to refund some taxes if revenue exceeds estimates. Recreational pot is taxed at 10 percent in Colorado, but on September 16, that tax will be waived and shoppers will pay only the 2.9 percent sales tax that is applied to all goods bought within the state. Shoppers will have to pay any taxes applied by the local jurisdiction in which the retail marijuana is sold. Colorado also has a 15 percent state excise tax, which is applied to sales or transfers from a retail marijuana cultivaton.

To read more, visit http://finance.yahoo.com/news/colorado-prepares-green-wednesday-113258319.html

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