When pot use becomes legal, Manitobans won’t have to pay PST.
The province is exempting recreational marijuana from the sales tax. It said the policy is designed to help drive out the legal market by keeping prices low.
The measure is part of the government’s budget implementation bill released Wednesday.
But pot will be subject to other levies in Manitoba. The Pallister government already announced a social responsibility fee of six percent will be added to a retailer’s revenues. The government is also applying a markup of 75 cents per gram, plus an additional nine per cent, at the wholesale distribution level.
It says the money will help pay for public education, safety, enforcement and addictions programs.
The budget bill also exempts inter-jurisdictional commercial passenger and cargo flights from the carbon tax with the aim of helping Manitoba businesses compete for access to air service.
