Tax cut for California pot industry: Too little, too late?

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Associated Press News
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Marijuana clone plants are displayed for sale by Interstate 5 Farms at the cannabis-themed Kushstock Festival in AdelantoOct. 20 2018,. California Gov. Gavin Newsom will propose a temporary tax cut for California’s marijuana industry which has struggled with hefty taxes, regulation and competition from a vast illegal marketplace. (AP Photo/Richard Vogel, File)
Michael R. BloodThe Associated PressLOS ANGELES (AP) — California’s governor Friday, May 13, proposed a temporary tax cut for the state’s struggling legal marijuana industry, but businesses said it falls far short of what’s needed to revive a floundering pot economy.Broad legal sales began in California in 2018, but the industry has been burdened by hefty taxes that can approach 50% in some areas, costly regulation and competition from a flourishing illegal marketplace, which industry analysts estimate is at least twice the size of the legal one.Meanwhile, a glut of cannabis from corporate-scale farms has sent wholesale prices into a tailspin, leaving some growers unable to make a profit.California was once envisioned as a national model for legal sales, but i
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