Medical Marijuana Offers New Revenue Stream to Ailing Economies

Medical Marijuana, once the ugly stepchild of Colorado's local businesses, is starting to gain favor by adding a fresh revenue stream to the struggling economy. As with many governments across the nation, Colorado's budget is stretched thin in most areas, and seriously deficient in others. However, unlike most states, Colorado has a unique revenue stream helping in a small but very useful way.

As the year draws to a close, Colorado's Medical Marijuana industry has contributed roughly $2.2 Million to the state in the form of sales tax alone. In many cities, local sales tax has contributed a significant portion to the local budgets. Denver, with the most dispensaries of any city in Colorado, received over $2 Million in sales tax so far in 2010. These financial benefits, coupled with the obvious benefits of patient aid and well being, should help the Medical Marijuana industry gain some ground.

However, while the development of this new revenue stream is a benefit to the city--when compared to the roaring river of restaurant sales tax, which brings in over $6 Million per month--Medical Marijuana's contribution to the fiscal bottom line is insignificant. Statewide, Colorado Medical Marijuana's portion of the overall sales tax is only .12%. Even so, as Medical Marijuana continues to gain support through patient care and well being, the added benefit of fiscal contribution will only benefit the Medical Marijuana movement.