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Tax Exemption Proposed for Terminally Ill Patients Medicinal Marijuana

For immediate release:

(Sacramento) – Today, Assemblymember Mike Gipson (D-Carson) introduced legislation to extend the sales and use tax exemption for medicines to include medical marijuana prescribed for terminally ill patients. Sponsored by the Chairman of the Board of Equalization (BOE), Jerome Horton, Assembly Bill (AB) 821 creates a process for qualified patients to receive an exemption certificate for their purchases of medical marijuana.

“Our culture has come a long way in understanding and applying the medicinal uses of marijuana,” states Gipson. “If current practice is that medicine should not be taxed for patient treatment, then it is only fair that we apply this standard across the board.”

Upon proof of a terminal illness by a patient’s attending physician, the BOE must issue an exemption certificate. This certificate, which may be renewed once, will remain valid for the same period as the patient’s medical marijuana identification card.

“To tax individuals on their pain and suffering during such a critical time goes against the intent of the Legislature and its existing philosophy as it relates to taxing medicines,” states Chairman Horton.

“I look forward to working with medical professionals, law enforcement, and patient advocates to ensure that we remove this unfair tax burden while maintaining proper oversight,” states Gipson. “But the bottom line is that those trying to survive with a terminal illness deserve our support and blessings, not extra dues.”

Mike Gipson represents the 64th Assembly District. The district includes the cities of Carson, Compton, Gardena, Harbor Gateway, Lynwood, North Long Beach, Rancho Dominguez, South Los Angeles, Torrance, Watts/Willowbrook and Wilmington.