Which law placed a prohibitive tax on marijuana?

• A. Marijuana Tax Act of 1937
• B. Harrison Act of 1914
• C. Boggs Act of 1951
• D. Controlled Substances Act of 1970

Answer: (A)

The idea being tested is how taxation can be used as a prohibition tool. The Marijuana Tax Act of 1937 imposed a prohibitive tax on the transfer, sale, and possession of marijuana, with strict licensing and stamping requirements. Noncompliance carried heavy penalties, effectively driving marijuana out of legitimate commerce and use. This tax-based ban is distinct from the other laws listed: the Harrison Act regulated narcotics through registration and taxes but focused on opiates and cocaine; the Boggs Act hardened penalties for drug offenses; and the Controlled Substances Act of 1970 moved marijuana into a Schedule and criminalized broader possession and distribution without relying primarily on a prohibitive tax.