Michigan Leads Trend Toward Lower Marijuana Tax

Michigan will have the lowest tax rate in the country on recreational marijuana when sales begin Dec. 6—and it may dip even lower.

That’s no fluke. Other states newer to the market have also moved toward lower taxes on the popular product amid rising competition from both other states and the black market.

That marks a sharp reversal from just a couple of years ago when states seized on high taxes on marijuana to bring in new revenue. Now, they recognize the marketplace has quickly evolved.

“The goal is to establish a safe, legal, and regulated marijuana market for adults, ...