COLUMBUS, OH – An updated Ohio State University analysis suggests that with voter approval, Ohio might generate up to $403.6 million per year in tax revenue from adult-use marijuana sales.
According to a report by Marijuana Moment, the study estimates initial sales year tax income based on similar state markets like Michigan, along with Colorado, Illinois, Nevada, Oregon, and Washington State data from 2018-2023.
Projected tax revenues for Ohio vary between $276.2 million and $403.6 million by the fifth sales year, dependent on different pricing models. The analysis notes potential legislative tax adjustments that could impact both revenue and pricing dynamics.
While tax revenue is speculative, the study suggests Ohio’s cannabis tax returns could rival those from casino revenue tax. The report also acknowledges how potential legislative adjustments to tax rates could impact revenue and product prices in both the legal and illicit markets.
The analysis predicts potential cannabis revenue in the state could reach up to $218.4 million in the second sales year, climbing to around $305.7 million in year three, $366.9 million in year four, and eventually reaching the $400 million threshold by the fifth year.
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