Cannabis Legalization In Australia Would Generate $700 Million In Annual Revenue
A recent estimate from Australia’s Parliamentary Budget Office projects that the enactment of adult-use cannabis legalization in Australia could generate as much as $700 in annual revenue.
“The $700 million in annual revenue would come from a mix of sales tax, corporate taxes and a 15-percent special tax on cannabis.” reported Marijuana Moment in its original coverage. The government estimate is part of a renewed legalization effort recently announced by Australia’s Greens Party.
The Greens have a plan to Legalise Cannabis.
Our plan would put billions into public revenue for schools and hospitals, keep people out of jail, and support your right to relax with a brownie instead of a beer 🍃
This election, let’s send a message to the major parties. pic.twitter.com/yl4wTMiGqt
— David Shoebridge (@DavidShoebridge) March 12, 2025
Currently, cannabis is legal for adult use in Uruguay, Canada, Malta, Luxembourg, Germany, and South Africa. Additionally, two dozen states in the U.S. have adopted recreational cannabis legalization measures, and regional adult-use cannabis commerce pilot trials are operating in the Netherlands and Switzerland.
Medical cannabis sales in Australia have quadrupled during the last two years, with Australians estimated to have spent an estimated $1 billion on medical cannabis in 2024. Medical cannabis was first legalized in Australia in 2016.
“The Pennington Institute’s Cannabis in Australia report has revealed spending has skyrocketed from $230 million two years ago to a predicted $1 billion by the end of this year.” 9News stated in its local coverage at the end of last year.
“The spending correlates with usage, which jumped from just 3.9 per cent of survey respondents in 2019 to almost 30 per cent admitting they use prescription marijuana.” the outlet also reported.