FDS Insight Magazine Jun - Sep 2023

26 The effect that legalising cannabis would have on the bottom line, according to the PBO, with a cannabis sales tax of 15 per cent. And with a sales tax of 25 per cent. Sales of recreational cannabis would attract the GST as well as an excise of 25 per cent on GST-inclusive sales. ‘It’s a fact that almost half of adult Australians have at one time or another consumed cannabis. Laws that make almost half of the country criminals don’t pass the pub test,’ Mr Shoebridge said. ‘When you legalise cannabis, you can properly regulate the market, provide consistent health and safety advice and make the product safer. Right now the only ‘safety regulators’ for the cannabis market are bikie gangs and organised crime and that doesn’t make much sense. ‘This costing from the PBO shows the incredible opportunity legal cannabis creates to not just reduce harm but to generate revenue that could be invested in health, education and public housing. ‘The Greens’ model creates a right for adults to grow up to six plants at home without being taxed and without having to pay. This costing takes that into account. ‘It also guarantees commercial possibilities for co-operatives and local entrepreneurs to grow and sell cannabis including through regulated cannabis cafes.’ Under the plan the commercial cultivation of cannabis plants would start up from July 2023 to ensure the establishment of supply chains ahead of sales of Australian-grown cannabis, which would be expected to commence in 2024-25, although the application for production and retail licences would commence in 2023-24.