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Over $5B in Cannabis Tax Collected!

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OTTAWA — New federal data shows that Canada has collected more than $5.4 billion in cannabis tax revenue since recreational marijuana was legalized in October 2018, with provinces taking the lion’s share of the earnings.

According to figures tabled in response to a House of Commons order paper question from Conservative MP Luc Berthold, the federal share amounted to $1.2 billion, while provinces collectively received about $4.2 billion.

Ontario Leads, but Alberta Tops Per-Capita Earnings

Ontario generated the highest provincial total at $1.5 billion, reflecting its large population and robust retail market.

Despite being far smaller, Alberta took second place with just over $1 billion in revenue, and also outperformed every other province or territory on a per-person basis. Alberta’s per-capita cannabis tax revenue reached approximately $210, more than any other region.

Trailing Alberta were:

  • Northwest Territories: $135.80 per person
  • Yukon: $126.35
  • Saskatchewan: $121.55
  • Newfoundland and Labrador: $113.65

Quebec recorded the lowest per-capita revenue, at $55.31 per resident since legalization.

The data excludes Manitoba, the only province that does not participate in the federal cannabis taxation framework.

Federal Revenue Falls Short of Early Expectations

While cannabis taxes have become a significant revenue stream, federal totals remain below initial projections. In the 2018-19 budget, Ottawa anticipated $690 million in revenue over the first five years. By the end of the 2022-23 fiscal year, the federal government had collected around $567 million, falling short of the target.

Cannabis Education Funding Far Below Initial Plans

Spending on cannabis education and prevention has also lagged behind earlier commitments. Ottawa originally planned to invest $83 million over the first five years of legalization, but Health Canada reported spending about $21.6 million since 2018.

More than $13 million of that was spent in the first fiscal year alone. During the peak of the COVID-19 pandemic (2020-21 and 2021-22), the national health agency spent under $500,000 combined on education and prevention initiatives. Funding has since increased, rising to $2.3 million in 2024-25.

In addition, the federal government provided about $29.6 million to support 26 external cannabis education and prevention programs.

Partial Data for 2025

The latest report includes only partial revenue figures for 2025, covering the period from April 1 to August 31.

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Canada News

Advocate Pushes Immediate Cannabis Sale Shift

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More than seven years after Canada legalized recreational cannabis, the debate over retail access is resurfacing in parts of Manitoba. Several municipalities—including Winkler and Steinbach—still prohibit cannabis stores, even as the rest of the province embraces regulated sales. Now, with updated national data and shifting community attitudes, advocates are urging local leaders to reconsider long-standing bans.

Communities That Opted Out Face Renewed Pressure

When nationwide legalization arrived in 2018, Manitoba allowed municipalities to hold binding votes on whether to permit cannabis retailers. Winkler and Steinbach both rejected retail access at the time, with strong majorities voting to keep dispensaries out of their communities.

Those votes reflected concerns about public safety, youth exposure, and uncertainty over how legalization might unfold. But advocates argue those decisions were made without the benefit of real-world evidence.

Advocate Says It’s Time for a Second Look

Cannabis advocate Jesse Lavoy has emerged as a leading voice calling for reassessment. Lavoy recently presented to the City of Winkler, highlighting research showing that regulated cannabis stores reduce illegal market activity, ensure safer products for consumers, and generate local tax revenue.

He stressed that communities now have access to years of national data—information that wasn’t available in 2018—and believes residents deserve a chance to vote again.

Winkler Considers Vote, Steinbach Faces Petition Effort

City officials in Winkler confirmed they may schedule a new plebiscite this October, pending council approval. The move would give residents an opportunity to revisit the question with updated knowledge and clearer expectations about industry regulation.

Steinbach, however, rejected a similar proposal earlier this year. In response, Lavoy and supporters are preparing a formal petition that—if approved and successful—would force another municipal vote. The petition process requires authorization from the Liquor, Gaming and Cannabis Authority of Manitoba (LGCA), after which organizers will have 90 days to gather signatures. Lavoy expects to begin canvassing in March.

Economic and Public Safety Arguments Take Center Stage

Advocates say allowing licensed cannabis stores in these communities would:

  • bring local buying habits into a regulated environment
  • reduce reliance on untested black-market products
  • generate tax revenue for municipal services
  • keep economic activity closer to home instead of directing sales to neighboring cities

Residents who travel outside their municipalities to purchase legal cannabis increasingly question whether existing bans still reflect local values or modern realities.

A Debate That Continues to Evolve

As Manitoba communities revisit past decisions, the conversation around cannabis access is shifting from speculation to evidence-based evaluation. Whether Winkler, Steinbach, or other municipalities ultimately change course remains uncertain, but one thing is clear: the discussion is active, informed, and far from settled.

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