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Old 07-01-2004, 05:35 PM   #1
Cassius
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Default The fact that dealing marijuana is illegal does not exempt it from taxation

From: http://www.ksrevenue.org/perstaxtypesdrug.htm

Quote:
The fact that dealing marijuana and controlled substances is illegal does not exempt it from taxation. Therefore drug dealers are required by law to purchase drug tax stamps.
The drug tax is due as soon as the dealer takes possession of the marijuana or controlled substance. Payment of the drug tax will purchase the drug tax stamps. Attach the stamp to the marijuana and/or controlled substance immediately after receiving the substance. The stamps are valid for 3 months. Drugs seized without stamps or having expired stamps may result in criminal or civil penalties which may include fines, seizure of property or liens against real estate.

A dealer is not required to give his/her name or address when purchasing stamps and the Department is prohibited from sharing any information relating to the purchase of drug tax stamps with law enforcement or anyone else.

Purchasing drug tax stamps does not make possession of drugs legal.
From the FAQ on that site, it says Kansas is one of about 10 states that taxes illegal drugs. It's basically a way of posing an additional fine on those caught with possession, from what I can tell. Ridiculous, no?
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Old 07-01-2004, 05:48 PM   #2
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The Marijuana Tax act of 1937 was modeled after legislation that outlawed machine guns. The machine guns were not allowed to be sold without a government stamp, and the government made no stamps. That way the man could restrict the people's access to firearms, without actually making them illegal and causing a big row over the second amendment.

At first, Anslinger thought this would be a good way to handle marijuana as well. Later, he decided that lies and insane punishments were the way to go. Sadly we still haven't outgrown that era.

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Old 07-02-2004, 08:49 AM   #3
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Wow does anybody read these things?....well... I geuss not
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Old 07-02-2004, 06:43 PM   #4
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Let me ask the obvious question: Why would it be exempt from taxes?

The taxes are on the sale, legal or otherwise. Why would making an illegal sale exempt you from tax responsibility?
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Old 07-02-2004, 06:49 PM   #5
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Where do I buy these stamps?
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Old 07-02-2004, 06:49 PM   #6
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The taxes are on posession. It doesn't matter if you're cought with enough for a bowel, or an ounce, it's still got to be stickered. :I
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Old 07-06-2004, 03:38 AM   #7
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Oh my god that is a joke. I cant believe that. They want to reap the benefits of Marijuana being legalized without legalizing it. That is proposterous. Any medicine men out there considering this, please don't. It's a step back in the legalization movement.
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Old 07-07-2004, 07:35 AM   #8
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I have read the text of the MJ tax stamp law in WI. On one hand it can be used for busting dealers. On the other hand, if every dealer got the tax stamp and paid the sales tax; i think it would show those FuQs in DC that there is a SCHIT load of money to be made from taxing pot.
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Old 07-07-2004, 01:32 PM   #9
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and of course income generated from the sale of marijuana can be taxed by both state and the federal government.
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Old 07-07-2004, 01:43 PM   #10
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Quote:
Let me ask the obvious question: Why would it be exempt from taxes?
Because the idea of having it illegal is: (1) it should never take place, and (2) if it does take place, you are breaking the law and should be punished according to the law that made it illegal.

Imagine a toll road that is closed. You drive on it anyway. When they take you to jail, are they going to say "oh yeah and here's your $500 fine for not paying the toll at the unoperated toll booth"? If you say, "but there was no one there to collect my toll", they can simply respond, "Doesn't matter, the law is that you have to pay the toll, here's your fine."

Charging a toll fine would be punishing you above and beyond the crime of driving on a closed road (which I would think would fall under not obeying traffic directions, or some such). When you break that law by driving on the toll road, you should be punished according to the punishment set out in the law that you broke, obeying traffic directions.

Likewise, a marijuana or other illegal drug tax, allows them to punish you more than the punishment set out in the law that you actually broke. When the law that you broke was put on the books, they set a punishment that they felt was appropriate for it, just like they do every law. By making another law, that can only be "broken" when the first law is broken, they are in effect subtly increasing the punishment of the original law without anyone noticing.

Furthermore, what about the toll booth operator that wasn't there to collect your toll on the closed road? Charging you a fine for not paying the toll would be a bit ridiculous when there was no toll booth operator there (and assuming there was no automated system either). No way of you paying the toll should mean that it wasn't your fault that the toll wasn't paid, right? The crime you committed was driving on the closed road, not paying the nonexistent toll booth operator.

In fact, part of the price of the toll that is charged on toll roads is based on the overhead that they have to support to collect it, i.e. the equipment they place at the toll booth, the wages of the toll booth operator, etc. When the toll booth is closed, this overhead doesn't really exist, and so they would be getting (if people actually paid the toll on closed roads) extra money that they should have been collecting to cover overhead, according to the books.

Likewise, a tax on marijuana or any other illegal substance, that is supposed not to be sold, not only is an increase in the penalty for breaking a separate law (possession), but is revenue collected without actually having to pay for any overhead (or minimal), because do they REALLY expect a not insignificant portion of their drug dealer community to pony up the money for a tax on a closed road (illegal drug)?
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