The cannabis industry is one of the most promising spheres nationwide. Since it attracts millions of dollars and provides significant profits, the industry is becoming an important source of taxes. However, current marijuana-related laws still contain plenty of disputable issues concerning the collection and use of pot taxes.
Adams County in Colorado still uses the disputed tax revenue from recreational weed sales for funding scholarships. It has recently announced that 64 high school students were awarded more than $1 million in total.
The Adams County Scholarship Fund, which provided the scholarships, is funded with the help of the county’s sales tax on recreational cannabis. This weed tax stays under legal challenge from Aurora, Northglenn, and Commerce City, which state that the Adams County has no right to collect taxes above and beyond the amounts the cities collect.
Although the Colorado Court of Appeals has agreed with the cities, the county continues the collection of pot taxes while it is fighting the court’s decision in the Colorado Supreme Court. Colorado's high court has not yet decided whether to accept the case.
Eva Henry, Adams County commissioner, notes that it is a great pleasure to enable gifted students to continue their education. She also believes that these scholarships will allow well-deserving students to reach academic excellence with no worries about paying for college.
Students who demonstrated exceptional academic progress and were members of the reduced and free lunch program were able to apply for the scholarships.
Last year, Adams County also allocated $516,718 from the tax to fund scholarships for students with low incomes.