Justin Trudeau outlines proposed excise tax on legalized marijuana

Prime Minister Justin Trudeau is proposing to levy a federal excise tax on recreational marijuana once it becomes legal next July, with the provinces and territories receiving half the revenue.

Under the federal proposal put to premiers during a first ministers meeting today, each gram of pot would be subject to an excise tax of $1 on sales up to $10 and a 10 per cent tax on sales of more than $10.

The costs of legalization, the level of taxation on marijuana and revenue sharing are all still matters under negotiation with the provinces,says Trudeau.He says all first ministers agree that the priority is to keep marijuana out of the hands of kids and out of the control of criminal gangs.

-