GRAND RAPIDS, Mich. — A Michigan marijuana industry group is suing the state government over a new 24% wholesale tax in the new budget.

It claims the tax is unconstitutional and would hurt already struggling cannabis businesses.

Casey Kornoelje is the founder and owner of Pharmhouse Wellness, a small Grand Rapids dispensary. He supports the lawsuit filed by the Michigan Cannabis Industry Association (MiCIA).

Kornoelje says the burden of increasing the current total tax of 16% would fall the most on consumers.

“That was originally approved by the 10% excise tax that people pay on the adult-use products. There's 6% sales tax that's just standard," Kornoelje said. "So, all in at 16% at the retail counter right now, with the additional 24, you'd be more like an all-in rate of 40% you kn

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