OLYMPIA, Wash. — A new report finds legalizing and taxing marijuana boosts revenue for state and local governments, but not by much.
The credit rating agency Moody’s Investor Service says gross revenue from legal pot in Washington equaled about 1.2% of general fund revenue in the 2015-17 state budget.
Their study shows states often use legal pot revenue for law enforcement and drug treatment programs which don’t help the financial flexibility.
Market research firm Euromonitor International projects pot will grow threefold to a $16 billion business by 2020, while illegal marijuana sales are estimated at $40 billion.