The Latest: Colorado set for tax-free pot as last year's books close, prompting tax suspension

Government And Institutions Associated Press

The latest on Colorado's marijuana tax holiday caused by a quirk in the law (all times local):

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8 a.m.

An accounting error in Colorado is paying off for marijuana consumers Wednesday, when a quirk in a state tax law prompts the state to suspend most taxes on recreational pot.

The one-day pot tax holiday means Colorado won't collect 10 percent sales taxes on pot. The state is also suspending a 15 percent excise tax on marijuana growers.

The tax break is happening because Colorado underestimated overall state tax collections last year. Under the state constitution, the accounting error triggers an automatic suspension of any new taxes — in this case, the recreational marijuana taxes voters approved in 2013.

The taxes revert to 25 percent on Thursday.

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Until then, retailers are hoping for big crowds. The state had no estimate on how many shoppers might turn out.