Michigan Republican wants a one-year timeout on the 24% wholesale marijuana tax that isn't hitting its number

Michigan state Rep. Jay DeBoyer, a Republican who voted for the road funding package that created the tax, says he will introduce a bill suspending the state's 24 percent wholesale marijuana tax for one year. It has no number or introduction date yet. The tax took effect January 1 and applies to certain sales and transfers of adult-use product to licensed retailers, on top of the 10 percent retail excise tax and 6 percent sales tax. Treasury is still collecting it.

State officials projected roughly $420 million a year for roads. Collections over the first several months came in well short of that. DeBoyer argues the added burden makes it harder for licensed operators to compete with the unregulated market and says a pause is needed to reassess whether the tax works.

This is the softer of two Republican approaches. A separate House bill introduced in July would repeal the road funding tax act outright, and GOP gubernatorial nominee John James has pledged to repeal or sharply cut the levy if elected.

For Michigan operators, nothing changes today, and a bill from the minority party in a split government is a long shot. The signal still matters: revenue that undershoots forecasts is the usual opening for rollback talk. If you price or budget around the wholesale tax, model a scenario where it moves after the November election.