Canadian prime minister announces dollar-a-gram tax on social cannabis


Pictured: Canadian Prime Minister Justin Trudeau

Canadian Prime Minister Justin Trudeau announced a proposal for the nation’s social cannabis program which would place a dollar-a-gram excise tax on cannabis sold for $10 a gram or less.

Cannabis products priced higher than $10 a gram would be subject to a 10 percent tax. Trudeau said the tax revenue would be split 50-50 with provincial governments.

The prime minister said this approach is not about bringing tax revenue, but by defeating the black market and keeping individuals away from illicit dealers. He stressed the system must come from a public health and safety standpoint which will also protect minors from underage consumption.

The next meeting between federal finance ministers on the taxation of cannabis will be held in December.