Oakland, California voters, last week, overwhelmingly imposed a 1.8 percent gross receipts tax on medical marijuana dispensaries according to an article in the Huffington Post. Eighty per cent of those voting approved the tax. Oakland is the first city in the county to pass a local tax on marijuana. The tax is in addition to the state sales sale paid by marijuana purchasers. There are four medical marijuana dispensaries in Oakland selling marijuana to people who qualify under the state’s medical marijuana statute. The measure which was proposed by the dispensaries as a way to give back to the community and help fill the gap in the city’s budget is expected to raise $294,000 for the city in its first year. The measure takes effect on January 1.

The medical marijuana community hopes to use the tax to promote further legalization of marijuana. One study showed that a statewide tax on marijuana currently pending in the state legislature could raise 1.3 billion dollars.