Paraphrasing Whitesnake, “Here we go again on our own!”
Michigan cannabis growers need no reminding that by this time last year, the Michigan House of Representatives had passed a road funding plan, and members were tripping over themselves to say it wouldn’t require any tax increases. At the eleventh hour, though, with the cannabis industry hanging on the promises of no new taxes, everything changed. The House threw a 24% wholesale tax on marijuana into a bill that didn’t even mention the industry, and, wasting no more time (not even a single committee hearing), rammed it through.
Never seeming to find all the taxes they’re looking for, legislators this year at least appear to be up front about wanting more taxes on marijuana growers. House Bill 5945, introduced this week by Representatives Tom Kunse and Will Snyder, would amend Michigan’s General Property Tax Act to declare that cultivating marijuana is not an agricultural activity. Tie-barred to another Rep. Kunse bill, House Bill 5246, this would deny marijuana growers agricultural tax-related benefits to which they’re currently entitled, AND tax even outdoor farms as commercial property. Not content with just hiking real estate taxes, Rep. Kunse also introduced House Bill 5696 to eliminate the ability of Michigan growers to use agricultural-based exemptions from personal property taxes.
Here the Legislature goes again on their own—going down the only road they’ve ever known—raising taxes. All the while, Michigan growers are forced to walk alone.