Wilmington and New Castle County in Delaware are looking to tax marijuana sales as the state prepares for the launch of its recreational cannabis industry. The jurisdictions are considering resolutions to ask state legislators for permission to collect additional local sales tax on marijuana products. Wilmington is proposing a tax of up to 3 percent, while New Castle County is considering up to 5 percent on top of the state’s 15 percent sales tax on marijuana. These taxes, if approved, could make marijuana sales in Wilmington among the most expensive in the region.
Local governments have already begun setting restrictions on where marijuana shops can operate, with Wilmington City Council set to vote on allowing some recreational marijuana businesses in certain areas. Advocates argue that the taxes could push customers to surrounding states and further support the illicit market. The proposed ordinances on zoning restrictions for marijuana shops in Wilmington are also set for a final vote, aiming to create a balance between stakeholders’ interests.
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