Image for Marijuana Tax Act

Marijuana Tax Act

The Marijuana Tax Act of 1937 was a U.S. federal law that effectively banned marijuana by imposing strict regulations and heavy taxes on its production, distribution, and sale. Instead of outright prohibition, it required growers and sellers to pay a significant tax, which made legal cannabis operations financially unviable. The Act was influenced by concerns over marijuana's potential harms and stigma, and it laid the groundwork for decades of prohibition, shaping attitudes and policies toward cannabis in the United States. Ultimately, it led to criminalization rather than regulation of the substance.