Michigan creates additional marijuana tax to fund Whitmer's plan to 'fix the damn roads'

LANSING, Mich. (AP) — Michigan Gov. Gretchen Whitmer on Tuesday signed into law a new 24% tax on marijuana sales between producers and dispensaries, creating revenue to partially fund her long-promised effort to improve the state's roads.

Whitmer made road repairs her priority this year. The Legislature’s fiscal agencies estimate the wholesale tax will generate $420 million in new revenue to go towards the annual $1.8 billion road funding plan. But analysts predict the additional tax will inevitably lead to a drop in sales.