The Museums
FDA GRANDFATHER
Clause Petition
FEDERAL TAX RECORDS:
 EVIDENCE THAT MEDICAL CANNABIS
WAS IN USE AFTER June 25, 1938
MTA

FEDERAL GOVERNMENT TAX STATISTICS:
Under the M.T.A. (Marihuana Tax Act -- Effective Oct 1, 1937), doctors (veterinarians et al), pharmaceutical manufacturers, growers, wholesalers, dealers etc., were ALL required to register and pay for the said privilege of prescribing, growing, dispensing (pharmacies) or manufacturing Medical Cannabis medicines.   All of which now provide us with an excellent source of documentation “ESTABLISHING” that these activities were indeed taking place after June 25, 1938 as required for Grandfathering.

According to the, ‘Annual Report of the Secretary of the Treasury’ :
“The enforcement of the taxing features of the Marihuana Tax Act of 1937, approved August 2, 1937, will have the effect of restricting the use of the drug to industrial, medical, and scientific purposes; and the publicizing of dealings in marihuana will prevent distribution for the purpose of maintaining or increasing narcotic addiction. Under the provisions of the act legitimate handlers of marihuana are required to pay occupational taxes, to register with the collector of internal revenue, and to file information returns. All transfers of the drug must be made in pursuance of special order forms issued by the Secretary of the Treasury, and a tax is imposed upon each transfer. A tax of $1 an ounce is imposed upon transfers to registered persons, and $100 an ounce upon transfers to nonregistered persons. Heavy penalties are provided for violations of the provisions of the act. “
There was also a federal charge to register:
  • Doctors, Veterinarians --- $1 per year
  • Pharmacists, wholesalers, dealers --- $3 per year
  • Growers --- $1 per year
  • Manufacturers -- $24 per year
And a one dollar per oz., transaction or transfer fee.

Statistical tables representing each of the four different forms of registrations [broken down by State] were published yearly in the “Annual Report of the Commissioner of Internal Revenue;” which appeared as follows:

IRS-Cover
IRS-C


ANNUAL REPORT
Of The Commissioner Of Internal Revenue (IRS)
Here for the sake of simplicity, we are reproducing these statistics in tabulation form.   Each table [showing the statistics for the years 1938-thru-1951][A] has been segregated by registration class.

LICENSED MARIHUANA DEALERS *
STATE 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 1950 1951
Alabama 26 10 8 4 4 3 3 2 2 2 2 2 1 1
Arizona 2 2 1 - - - - - - - - - - -
Arkansas 9 3 3 3 3 4 1 1 1 1 1 1 1 1
California 67 39 16 12 9 6 7 6 9 6 4 3 3 2
Colorado 17 13 11 9 9 8 5 5 5 4 4 3 3 2
Connecticut 2 - - - - - - - - - - - - -
DC 4 1 1 1 1 1 1 1 2 1 1 1 1 na
Florida 39 - - - - - - - - - - - - -
Georgia 122 29 14 6 3 3 2 3 1 1 1 - - -
Illinois 45 30 26 19 19 23 18 16 13 10 9 10 8 6
Indiana 17 7 8 3 3 6 4 3 3 3 2 1 - -
Iowa 8 3 2 - 1 3 13 1 1 - - - - -
Kansas 12 6 6 2 - - - - - - - - - -
Kentucky 67 19 25 14 20 35 31 14 6 8 8 4 6 6
Louisiana 9 2 2 2 2 2 2 2 1 - 1 - 1 1
Maine 5 2 1 1 1 1 1 1 - - - - - -
Maryland 10 9 7 5 4 2 3 3 1 1 1 1 1 2
Mass. 34 12 5 3 2 2 2 2 2 2 - - - -
Michigan 176 72 17 10 8 6 5 5 4 4 4 - 5 2
Minnesota 37 20 15 9 10 8 8 8 7 5 5 5 4 2
Mississippi 2 2 - - - - - - - - - - - -
Missouri 27 9 8 6 4 3 3 3 2 2 1 2 2 1
Montana 7 7 3 1 - - - - - - - - - -
Nebraska 3 5 4 7 5 5 5 4 4 4 4 3 4 4
Nevada 1 1 - - - - - - - - - - - -
New Jersey 35 33 20 16 17 15 15 12 14 14 11 7 6 5
New Mexico 1 1 - - - - - - - - - - - -
New York 340 121 101 48 50 29 34 28 27 23 19 19 14 12
N. Dakota 4 1 - - - - - - - - - - - -
Ohio 95 29 17 23 8 4 4 5 5 3 3 3 3 3
Oklahoma 4 4 3 3 3 2 1 1 3 1 1 1 - 1
Oregon 28 17 9 7 6 3 3 3 3 4 4 4 1 1
PA. 150 73 49 28 27 19 21 16 15 11 11 10 9 8
RhodeIsland 5 2 3 2 1 2 2 2 2 2 2 2 2 2
S Carolina 44 14 12 5 3 3 1 1 1 1 1 1 - 1
S.Dakota 1 1 1 1 - - - - - - - - - -
Tennessee 55 21 5 4 1 2 1 1 1 1 1 1 - -
Texas 18 10 11 9 7 16 7 3 3 3 2 2 1 2
Utah 6 3 3 5 2 2 2 - 1 - 1 - - -
Virginia 17 6 4 3 3 2 2 - - - - - - -
Washington 21 9 7 6 5 5 1 - - - - - - -
W.Virginia 25 9 3 1 2 1 1 1 1 1 1 1 1 -
Wisconsin 8 6 3 4 3 3 3 5 6 5 4 7 4 4
Wyoming 6 3 3 2 2 1 1 1 2 1 1 1 1 -


LICENSED DOCTORS *
STATE 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 1950 1951
Alabama 33 15 7 5 2 2 2 1 1 2 1 1 1 1
Arizona 2 2 1 1 - - - - - - - - - -
Arkansas 27 12 12 5 7 4 4 3 2 2 2 2 2 2
California 110 98 75 61 61 43 35 39 33 29 48 29 29 28
Colorado 36 32 21 14 13 12 5 5 4 4 4 3 6 10
Connecticut 3 - 1 - 2 - 3 3 2 2 3 4 - 5
Delaware 1 1 1 1 1 - 1 1 1 1 1 2 2 3
DC 13 14 11 10 9 10 10 8 8 9 7 6 6 na
Florida 9 - - - - - - - - - - - - -
Georgia 141 60 34 27 16 16 19 11 8 9 8 8 7 7
Hawaii 5 4 4 3 3 3 3 3 3 3 3 3 3 2
Idaho - - 1 - - - - - - - - - - -
Illinois 54 57 47 40 37 36 29 25 22 17 20 20 24 18
Indiana 242 144 96 64 48 40 29 25 25 23 15 9 7 8
Iowa 69 - 23 19 12 12 14 9 11 9 6 10 12 10
Kansas 17 15 12 8 1 1 1 1 1 1 1 1 1 -
Kentucky 102 56 37 24 18 19 10 9 9 9 7 7 7 2
Louisiana 1 2 2 2 2 2 1 2 1 1 1 1 1 1
Maine 12 9 7 7 - 5 4 3 1 1 1 - - -
Maryland 40 28 20 18 20 15 14 12 13 10 9 8 10 10
Mass. 229 144 111 92 74 63 54 42 40 35 28 26 23 22
Michigan 31 27 29 22 14 10 9 11 8 7 6 5 3 3
Minnesota 31 21 18 14 13 8 9 9 6 6 - 5 3 2
Mississippi 2 - - - - - - - - - - - - -
Missouri 17 24 11 10 13 9 8 7 6 6 6 5 4 2
Montana - - - - 1 1 - - - - - - - -
Nebraska 11 27 24 48 38 35 43 36 89 34 37 34 33 32
Nevada 5 2 2 2 2 2 - - - - - - - -
New Jersey 15 32 27 26 24 32 17 16 18 16 15 15 15 14
New Mexico 12 8 4 - - - - - - - - - - -
New York 433 239 197 93 148 95 88 64 63 69 64 54 48 36
N. Carolina 1 2 1 1 1 1 - - - - - - - -
N. Dakota 3 5 5 5 2 2 2 2 - - - - - -
Ohio 257 194 121 77 73 60 40 39 37 25 29 26 24 19
Oklahoma 4 2 3 3 2 2 2 2 - 1 1 1 2 1
Oregon 16 21 15 13 7 3 5 5 5 6 2 3 3 2
PA. 198 153 114 87 73 62 61 44 48 41 37 39 38 37
RhodeIsland 3 3 2 2 - 1 1 - - - - - 1 -
S Carolina 50 28 14 9 5 - 6 5 5 5 6 5 6 6
S Dakota 2 2 2 1 1 - - 1 1 - - - - -
Tennessee 60 34 23 20 14 8 5 3 3 3 3 2 1 -
Texas 24 13 12 9 8 8 7 10 7 7 6 5 3 5
Utah 2 - 2 4 1 2 2 - - - - - - -
Vermont 6 4 3 1 - - - - - - - - - -
Virginia 22 19 16 12 12 11 5 4 - 3 3 3 2 2
Washington 38 32 26 20 16 15 11 8 8 7 6 5 4 4
W.Virginia 23 16 9 7 7 5 6 7 4 1 1 3 1 1
Wisconsin 6 7 4 3 3 1 2 4 2 1 2 2 2 2
Wyoming 17 13 11 - - 5 5 3 2 2 2 2 2 2


LICENSED MARIHUANA MANUFACTURERS *
STATE 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 1950 1951
Calif. 8 5 3 3 2 - 1 1 - 1 1 - - -
Illinois 1 3 2 2 2 1 2 2 1 1 1 1 1 -
Kentucky 1 - - - - - - - - - - - - -
Maryland 1 2 2 2 2 - 1 - - - - - - -
Michigan 1 - - - - - - - - - - - - -
Minnesota 2 - - - - - - - - - - - - -
Nebraska - - - - - - - - 1 1 1 1 1 1
New Jersey 58 - - - - - - - - - - - - -
New York 3 7 6 7 6 4 5 3 4 5 7 9 5 3
Ohio 1 1 1 1 1 1 1 2 - - - - - -
PA. 2 3 1 1 1 1 1 1 1 1 1 1 1 1
S Carolina - - - - - 1 - - - - - - - -
Wisconsin 1 - - - - - - - - - - - 1 1


LICENSED MARIHUANA PRODUCERS *
STATE 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 1950 1951
Alabama - - - 1 2 1 1 - - - - - - -
Calif. - - - - - - - - 1 - - - 1 -
Colorado - - - - - - 2 2 - - - - - -
Delaware - - - - - - - - - - - 1 1 -
Illinois - 1 2 - 1 3272 3331 934 - 1 1 - - -
Indiana - - 1 1 - 844 845 - - - - - - -
Iowa 2 - - 2 - 4073 4083 986 1 1 1 1 - -
Kentucky 154 36 108 321 8308 9200 15178 130 84 130 145 40 36 22
Louisiana - - - 1 1 1 1 1 - - - - - -
Mass. - - - - - - 2 - - - - 3 - -
Michigan - - - - - - - - - - - 3 - -
Minnesota 183 - - - 107 3619 3745 808 4 5 - - - -
Miss. 1 1 - - 2 1 - - - - - - - -
Missouri - - - 1 3 - 2 - - - - - - 1
Montana - - 1 1 - - - - - - - - - -
Nebraska - - - - - - - - 1 1 1 1 1 1
Nevada - - - - - - 1 - - - - - - -
New York - - - 29 - 3 15 17 1 5 2 - - 3
N. Dakota 2 - - - - - - - - - - - - -
Ohio - - - - 2 3 - - - 6 - - - -
S Carolina - - - - 3 5 1 - - - - - - -
Tennessee - - - - 18 80 76 - - - - - - 1
Utah - - - - - - - - - 1 - - - -
Virginia - - - - 2 1 1 1 - - - - - -
W.Virginia - - - - - - - - - 1 1 - - -
Wisconsin 111 191 171 400 600 3451 3676 1849 706 531 465 410 347 110
Wyoming - - - 9 7 - - - - - - - - -


NOTE:   Every effort has been made to track-down specifics, such as which pharmaceutical companies paid which tax etc., however, try as we might,[B] this museum has not been able to obtain such records.   However we can still treat these statistics as proof that the stated activities were indeed taking place.

TRUE some of these statistics represent Industrial Hemp verses Medical uses, especially during the Second World War, when America even had its own Hemp Czar.   Still one would be had pressed to explain WHY a medical Doctor would want to pay the M.T.A. for any other than medical purposes.   Proof we feel that Medical Cannabis was indeed in medical use long after June 25, 1938.

DEA-Cover
DEA1967-A
DEA1967-B
"Under the law a physician can write a prescription for marihuana and a pharmacist can fill it"   --- Yeah, right!


WARNING:   During transcription, from archival book to actual web-code, numerous transcriber errors were located and corrected, but no doubt it is still possible that one or two digits may be in error.   However, such errors are irreverent.   The petitioner (more by accident than by design) has noticed that the original data of-and -by itself contains numerous mathematical and other obvious errors.   Examples of which include, tables that don’t tabulate as shown in the originals, data that is obviously incorrect (example: Ohio lists only one drug manufacturer when we know for a fact that there were at least two at the time), etc.   But most damning of all is the fact that this data -- obtained from the “‘Annual Report of the Secretary of the Treasury’ does not match the data given by other government publications such as the ‘Annual Report of the Secretary of the Treasury,’ or that provided by the narc’s at the time.   However, while the exact figures vary from one Government agency to the next, they are Official and are the best ones available.


FOOTNOTES:
[A]- These years 1939-1951, were selected solely because they were available via a local public library.
[B]- For whatever reason (although contacted and asked) the various government agencies involved do not seem to be very cooperative on the subject. Believe me, we have tried.

* States not listed indicate no activity.



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