Cannabis Taxes

When it comes to taxation of cannabis products, things are rather complex. Marijuana is still considered a Schedule 1 substance under federal law, and just 24 states have their own legal recreational markets. The result is a wide variety of tax regulations. What would happen with taxes in case of...

The California Department of Tax and Fee Administration (CDTFA) reported that cannabis tax revenue for the third quarter of 2023 hit $269.3 million. This includes California's cannabis excise tax, which generated $156.9 million, and $112.4 million in sales tax revenue from cannabis...

Military veterans who sued the Office Of Cannabis Management (OCM) in August, which provoked a temporary injunction on the issuance of new social equity retail licenses have finally reached a settlement. The settlement comes some five weeks after New York regulators opened the licensing...

CRS’ Report Warns High Federal Cannabis Taxes Could Hinder Industry’s Economic Potential Congressional Research Service (CRS) recently released a report suggesting that federal lawmakers should be careful about imposing high federal taxes on cannabis products in case of...

Minnesota Earns $1.5 Million in Revenue From Hemp-Derived Edibles  Minnesota generated $1.5 million in revenue within the first two months of implementing a 10% gross receipts tax on hemp-derived THC edibles sales. These cannabis taxes have brought in nearly $700,000 in July and $842,000...

In this week's cannabis sales and taxes update, Rhode Island, Michigan and Connecticut take center stage as the legal cannabis industry undergoes significant transformations. As of the latest available data, these states have witnessed noteworthy developments. See Also: $43B U.S. Cannabis...

In September 2023, cannabis sales figures from various U.S. states offered a compelling snapshot of the evolving landscape of legal cannabis markets. See Also: Cannabis Sales Trends: August 2023 Updates From New Mexico To Colorado Connecticut Connecticut's cannabis market has reported...

Ryan Richmond, former owner of Relief Choices, LLC, a Michigan marijuana dispensary, has been found guilty of tax evasion and obstructing the IRS. IRS: Over $1 Million In Lost Tax Revenue The U.S. Department of Justice revealed that Richmond concealed gross receipts by paying operating expenses in...

The Department of Health and Human Services (HHS) suggested the DEA reclassify cannabis as a Schedule III controlled substance under federal law. Assistant Secretary for Health Rachel Levine's letter triggered a much-needed rally in cannabis stocks. In a recent analyst note, a...

A recent ruling in Cass County has sparked debates in Michigan's cannabis industry over its eligibility for agricultural tax benefits. Agricultural Exemptions Amid Education Funding The state's education funding relies on diverse sources including sales, tobacco taxes and lotteries....

Maryland's Allure In Maryland, the recreational cannabis market hit the ground running, amassing $87.3 million in July sales. While this marks a significant boost from previous medical sales, it also reflects the broader trend of robust initial sales observed in many newly launched markets....

Governor Janet Mills (D) signed cannabis-related legislation last week enabling licensed operators to take state tax deductions. What Happened: By signing the legislation LD 1036 sponsored by Democratic Senator Teresa Pierce, the governor gave a green light to a workaround to...

Section 280e of the Internal Revenue Code has emerged as an unexpected catalyst, potentially injecting a staggering $700 million boost into cash flow for major cannabis companies. The cannabis industry has faced numerous challenges, including falling prices, excessive debt and stagnant sales...

This is a story from Jeremy Berke's "Cultivated" newsletter. Subscribe now so you don't miss the next one. Cannabis companies pay a heavy tax burden. If you run one, or are employed by one, you already know this. But just how much extra tax do cannabis companies pay? Well,...

Canada's licensed cannabis producers are facing a dire financial crisis as their unpaid federal excise tax skyrockets. In the most recent fiscal year, the outstanding tax debt owed by these struggling companies has more than tripled, reaching an alarming CAD 192.7 million ($141.2 million...