Thunderstorms, some heavy during the morning hours, then skies turning partly cloudy during the afternoon. High around 85F. Winds SSE at 10 to 20 mph. Chance of rain 100%. 1 to 2 inches of rain expected..
Tonight
A few clouds. A stray shower or thunderstorm is possible. Low 68F. Winds SSE at 10 to 15 mph.
Q: I heard Kansas has a law that taxes illegal drugs. What is it and why does it exist?
A: Just because you’re a drug dealer, it doesn’t mean you don’t have to pay taxes on your product, according to the Kansas Department of Revenue.
Whether it’s marijuana, heroin, cocaine, oxycodone, et cetera, if you have or distribute more than a certain amount, Kansas law states you meet the definition of a “dealer” — at least as far as this particular statute is concerned — and you have to pay taxes on those drugs.
The process to get these stamps sounds like a set up, but it’s apparently anonymous and the Department of Revenue isn’t allowed to share any information related to the purchase with anyone, including law enforcement.
You’re supposed to walk into the Taxpayer Assistance Office in Topeka, purchase stamps equal to the value of the illegal drugs in your possession and then put them on the packaging to show that you’re an otherwise law-abiding citizen.
The cost ranges from 40 cents per gram for growing marijuana plants to $2,000 per 50 dosage units for controlled substances.
If you don’t do this, you could face criminal or civil penalties. If you can’t pay the assessed tax and any penalties immediately, the department could ultimately seize personal property to cover the costs.
The Kansas legislature passed laws imposing taxes on possession of marijuana and controlled substances in 1987 to tax the underground economy and provide a source of revenue for the state. However, in 2014, the Kansas Supreme Court ruled that it is unconstitutional to convict someone of possession of an illegal drug and possession of the same drug without a tax stamp as it violates the double jeopardy provision of the U.S. Constitution.
Because of this, Riley County Police Department spokeswoman Hali Rowland said RCPD officers don’t take any enforcement action against those that have violated the drug stamp tax statute.
A 2008 New York Times article about the issues in collecting taxes on illegal drugs said most of the revenue from the tax is collected after law enforcement officials seize the drugs. It also quoted a government affairs associate at the Federation of Tax Administrators as saying that the laws help authorities keep seized drug money even when suspects go free as its easier to prove tax evasion than a drug crime.
Unsurprisingly, you likely won’t find many people participating in this program as it’s intended (stamp collectors might seek it out though). But at the same, you likely won’t find many instances these days of people being prosecuted under the statute.
To submit a question, send by email to questions@themercury.com, or by regular mail to Questions, P.O. Box 787 Manhattan, KS 66505.
