Types of cannabis taxes
Taxes Taxes Taxes! There are three types of taxes customers may see on their receipt:
- Excise Taxes
- Local Cannabis Taxes
- Sales and Use Taxes
Who is exempt from cannabis taxes?
Customers with state-issued MMID cards are exempt from paying Sales and Use Taxes on their purchases, but must still pay the Excise and Local Cannabis Taxes. For a breakdown on how these taxes are calculated and applied to your purchase, please check out this blog post!.
How are my cannabis tax dollars used?
With regulated cannabis comes taxes necessary to pay for the implementation and enforcement of these new regulations, as well as a host of other benefits for the state and local jurisdictions, including funding for research on the newly legalized cannabis market, developing a test for impaired driving, community reinvestment and research on the pharmacological impacts of cannabis.