Report Suggests Government Could Earn $150 Million From Taxing Legalised Cannabis

The Government could save more than $500 million through legalising cannabis, an internal Treasury document has revealed.

The document, released under the Official Information Act, shows brainstorming notes from 2013, which suggest the Government could earn $150 million from taxing legalised cannabis.

It also suggests that $400 million could be saved through reduced policing costs if the drug was legalised.

"Reforming drug policies would result in fiscal savings, ease pressure on justice sector resources and result in fewer criminal convictions for disadvantaged groups, youth and Maori," the document reads.

"New Zealand's drug classification system does not align closely with the relative levels of personal or social harm caused by drugs.

In particular, alcohol and tobacco are consistently found to be more harmful than some illegal drugs."

Read the full report at NZ Herald