Why are patients who legally acquire medical marijuana being illegally charged sales tax on this medicine? Correspondence to get clarification on why this is so included federal Health Minister Jane Philpott, Finance Minister Bill Morneau and our two MPs – Mark Eyking and Rodger Cuzner.
Health Minister Philpott replied that “tax policies fall within the purview of Hon. Bill Morneau” and forwarded my inquiry to him. MP Eyking replied with what are the existing regulations on marijuana that represent outdated information considering the ongoing changes with medical marijuana.
However, Veena Bhullar, senior special assistant – operations, for Morneau, replied on Nov. 4 the following:
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“Under the GST/HST, the general policy objective governing the tax treatment of drugs is to eliminate the tax on those drugs that are needed to deal with illness, disease or disability. It is for this reason that tax relief is generally limited to drugs prescribed by a medical practitioner.
“The minister understands that their longstanding position, which has been upheld by the courts, is that medical marijuana/cannabis is not acquired pursuant to a prescription, therefore sales are taxable.”
On Nov. 4, I sent the following reply to Minister Morneau:
”According to your special assistant's reply, medical marijuana is not acquired pursuant to a prescription and is therefore taxable.
“The medical marijuana I have been able to obtain had to have a legally licensed medical doctor (not an easy task) prescribe it by forwarding his prescription to one of the government-licensed producers in New Brunswick. I then have to register the patient with this government-licensed producer to purchase this medical marijuana. The producer will not sell this medication without the doctor's prescription that he had to forward to this government-licensed producer.
“Therefore, I don't understand your assistant's comment that this medical marijuana is not acquired pursuant to a prescription and is taxable.
“Am I correct in interpreting your assistant's comment that medical marijuana is available to purchase from a government- licensed producer in Canada without a prescription from a legally licensed doctor?”
Minister Morneau has not replied. Nor has anyone else responded that explains this situation.
Apparently this government’s policy activation and this government’s updating regulations regarding medical marijuana cannot be updated simultaneously. This needlessly and reprehensibly results in those patients paying an unjustified tax on a legally doctor-prescribed medicine because of government incompetence.
Charles W. Sampson
Sydney Forks
Health Minister Philpott replied that “tax policies fall within the purview of Hon. Bill Morneau” and forwarded my inquiry to him. MP Eyking replied with what are the existing regulations on marijuana that represent outdated information considering the ongoing changes with medical marijuana.
However, Veena Bhullar, senior special assistant – operations, for Morneau, replied on Nov. 4 the following:
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“Under the GST/HST, the general policy objective governing the tax treatment of drugs is to eliminate the tax on those drugs that are needed to deal with illness, disease or disability. It is for this reason that tax relief is generally limited to drugs prescribed by a medical practitioner.
“The minister understands that their longstanding position, which has been upheld by the courts, is that medical marijuana/cannabis is not acquired pursuant to a prescription, therefore sales are taxable.”
On Nov. 4, I sent the following reply to Minister Morneau:
”According to your special assistant's reply, medical marijuana is not acquired pursuant to a prescription and is therefore taxable.
“The medical marijuana I have been able to obtain had to have a legally licensed medical doctor (not an easy task) prescribe it by forwarding his prescription to one of the government-licensed producers in New Brunswick. I then have to register the patient with this government-licensed producer to purchase this medical marijuana. The producer will not sell this medication without the doctor's prescription that he had to forward to this government-licensed producer.
“Therefore, I don't understand your assistant's comment that this medical marijuana is not acquired pursuant to a prescription and is taxable.
“Am I correct in interpreting your assistant's comment that medical marijuana is available to purchase from a government- licensed producer in Canada without a prescription from a legally licensed doctor?”
Minister Morneau has not replied. Nor has anyone else responded that explains this situation.
Apparently this government’s policy activation and this government’s updating regulations regarding medical marijuana cannot be updated simultaneously. This needlessly and reprehensibly results in those patients paying an unjustified tax on a legally doctor-prescribed medicine because of government incompetence.
Charles W. Sampson
Sydney Forks
