Cannabis Tax Rates: A State-By-State Guide

Here’s how each state stacks up in terms of state taxes, excises taxes, and wholesale taxes on both medical and retail cannabis.

Click on a state to jump down to its tax guidelines.


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Alaska

  • Medical: No tax
  • Wholesale tax: $50 per oz on flower, $15 per oz for stems/leaves

For more information, please visit the Alaska Department of Revenue – Tax Division.

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Arizona

  • Medical: 6.6% state tax + 2-3% optional tax in cities

For more information, please refer to the Arizona Medical Marijuana Rules & Statutes.

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Arkansas

For more information, please refer to the Arkansas Medical Marijuana Commission.

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California

  • Medical: Certain medical marijuana sales are tax-exempt
  • Retail: 15% excise tax
  • Wholesale: $9.25 per ounce of flowers, $2.75 for leaves

For more information, please refer to the Tax Guide for Medical Cannabis Businesses.

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Colorado

  • Medical: 2.9% sales tax
  • Retail: 2.9% sales tax + 10% excise tax
  • Wholesale: 15% excise tax

For more information, please refer to the Marijuana Taxes File at the Colorado Department of Revenue.

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Connecticut

  • Medical: $3.50 per gram

For more information, please refer to the Marijuana and Controlled Substances Tax.

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Delaware

  • Medical: No tax

For more information, please refer to the Delaware Medical Marijuana Act Regulations.

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District of Columbia

  • Medical: No tax
  • Retail: No retail sales allowed

For more information, please refer to the Department of Health Medical Marijuana Program.

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Hawaii

  • Medical: 4% excise tax, 4.5% tax on island of Oahu

For more information, please refer to the State of Hawaii Medical Marijuana Program.

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Illinois

  • Medical: 1% pharmaceutical tax
  • Wholesale: 7% tax on cultivators/dispensaries

For more information, please refer to the Medical Cannabis Cultivation Privilege Tax Law.

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Maine

  • Medical: No tax
  • Retail: 10% sales tax

For more information, please refer to the Sales of Medical Marijuana and Related Products and Recreational Marijuana in Maine.

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Massachusetts

  • Medical: No tax
  • Retail: TBD

For more information, please refer to the Medical Use of Marijuana Program.

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Michigan

  • Medical: 3% sales tax

For more information, please refer to the State of Michigan Tax Policy Newsletter.

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Minnesota

  • Medical: $3.50 per gram

For more information, please refer to the Minnesota Controlled Substance Tax.

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Montana

  • Medical: 4% from July 1, 2017 to June 30, 2018; 2% after June 30, 2018

For more information, please refer to the Montana Marijuana Bill (SB0333).

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Nevada

  • Medical: 2% excise tax
  • Retail: 10% excise tax
  • Wholesale: 15% excise tax

For more information, please refer to the Nevada Department of Taxation Medical Marijuana Tax.

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New Hampshire

  • Medical: No tax

For more information, please refer to the Therapeutic Cannabis Program.

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New Jersey

  • Medical: 7% sales tax

For more information, please refer to the Medical Marijuana Alternative Treatment Center Taxation.

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New Mexico

  • Medical: No tax

For more information, please refer to the New Mexico Medical Cannabis Program.

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New York

  • Medical: 7% excise tax

For more information, please refer to the Excise Tax on Medical Marijuana.

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North Dakota

  • Medical: No tax

For more information, please refer to House Bill 1430.

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Ohio

  • Medical: TBD

For more information, please refer to the Ohio Medical Marijuana Control Program.

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Oregon

  • Medical: No tax
  • Retail: 17% state tax + 3% optional local municipality tax

For more information, please refer to the Oregon Department of Revenue Marijuana Tax Program.

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Pennsylvania

  • Wholesale: 5% excise tax

For more information, please refer to the Pennsylvania Department of Revenue Medical Marijuana Tax.

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Rhode Island

  • Medical: $25 per plant tag for patients/caregivers

For more information, please refer to the Edward O. Hawkins and Thomas C. Slater Medical Marijuana Act § 21-28.6-15 Medical marijuana plant tags.

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Vermont

  • Medical: Exempt from the Vermont Sales and Use Tax

For more information, please refer to the Taxation of Sales of Medical Marijuana and Related Paraphernalia.

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Washington

  • Medical: 37% excise tax
  • Retail: 8% state tax + 37% excise tax

For more information, please refer to the Department of Revenue – Taxes Due on Marijuana.

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West Virginia

  • Medical: No tax
  • Wholesale: 10% excise tax

For more information, please refer to Senate Bill 386.

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