On Tuesday, New Jersey Voters Referendum confirmed the legal use of recreational marijuana by a wide margin, as predicted by our G-101 algorithm. The approval includes an excise tax of 6.625% on marijuana sales to customers 21 or older and permitted municipalities to charge an extra 2 percent tax.
The granting process requires rules to regulate and testing cannabis, which must be approved by the Legislature and a Cannabis Regulatory Commission.
Being the first state to approve recreational marijuana in the Northeast Corridor, tax revenue and new jobs will create a $2 billion industry. Once effective and functioning, recreational marijuana sales for the first 12 months are projected at $135 million. Within five years, the market for recreational marijuana may exceed $300 million per year.