An Act to Tax and Regulate the Cannabis Industry
Massachusetts H01371

Introduction

  The term “legalization” is used to describe a variety of legal scenarios following repeal of the marijuana prohibition laws (see Primer)  One of those scenarios is called “taxation and regulation,” and it is with such a system that H01371 would replace the current marijuana prohibition laws. Like post-Prohibition laws that control the alcohol industry, this bill would regulate all commercial cultivation, processing, distribution and sale of cannabis (the botanically correct term), and impose a hefty excise tax, based on potency.

    The bill is modeled after Chapter 138 of the Massachusetts General Laws, the Alcohol Beverage Control Act. Cannabis would be sold at retail by licensed vendors to persons over 21, in sealed one-ounce boxes bearing the identity of the cultivator, the grade, and a tax stamp (as depicted in this website's logo) evidencing that all required taxes have been paid. Cannabis would be sold in natural form only, without any additives. It would be illegal to sell beverages or snacks containing THC.  Sales by vending machine are prohibited.



    Commercial cultivators, processors, distributors and retailers would be licensed by a Cannabis Control Authority. An additional class of license, called farmer-processor-retailer license, would permit sales directly from the farmer to the consumer. Licensees are subject to oversight by the local licensing authorities.


  As alcohol control laws allow adults to brew their own beer or make their own wine and share it with their friends, non-commercial (“backyard”) cultivation and giving it away would not be regulated.


    The operation of a motor vehicle under the influence of marijuana remains a crime, and the law changes nothing with regard to minors.

   The bill has been referred to the Joint Committee on the Judiciary.



   

 

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