State-by-State Recreational Cannabis Taxation Procedures

Whenever possible, we linked to official state websites; however, not every state's taxation policies have been well documented by state officials
List will be updated as more information becomes available


Alaska:

Weight-based excise tax on products sold by cultivators: $50/oz on cannabis flowers and buds, $25 on abnormal or immature buds, $15 per oz on trim, and $1 tax on plant clones sold by cultivators

California:

Cultivation Tax based on dry weights: $9.25 per oz of flower, $2.75 per oz of leaves, or $1.29 per oz of fresh plant (weighed within 2 hours of cultivation); 15% Excise Tax on product sold by cultivators; state 7.25% retail sales tax applies on all products except medical marijuana

Colorado:

15% excise tax and a 15% retail sales tax (increased from 10% to 15% in July 2017, but in July 2017 marijuana products became exempt from the traditional 2.9% state sales tax); there is also an option for county or city governments to add a small excise tax

Illinois:

7% excise tax; Sales tax based on THC concentrations and product type: cannabis-infused products have a 20% sales tax, other products with < 35% THC have 10% sales tax, products with >35% THC have a 25% sales tax

Massachusetts:

10.75% excise tax; the tax rate was raised in 2017 from the incredibly low 3.75% rate it previously had; 6.25% state sales tax


Maine:

Excise tax of $335/lb on marijuana flower, $94/lb of trim, $1.50 per immature plant sold, and $0.30 per marijuana seed; base 10% retail sales tax


Michigan:

10% excise tax on all products sold by cultivators as well as the traditional 6% retail sales tax, but the tax is subject to change until December 2019

Nevada:

15% excise tax on all wholesale products sold by cultivators; additional 10% excise tax on all retail products

Oregon:

17% retail sales tax with an option for local governments to add up to and additional 3% of retail sales tax

Vermont:

No tax system in place yet, but they have a proposed system of 10% retail sales tax and an option for up to 1% local retail sales tax with all products exempt from traditional state sales tax

Washington:

Base 37% excise tax on retail products; medical marijuana products are exempt from the excise tax; traditional 6.5% state sales tax applies to all marijuana products

Washington DC:

No tax system due to laws preventing the use of government time and money to set up a tax and licensing system for cannabis. Therefore, cannabis is legal in DC, but not purchasable