California has received over a quarter of a billion dollars in cannabis tax revenue in the second quarter of 2024.
That has helped the total tax revenue since cannabis was legalized in California reach nearly $6.3 billion.
The big picture: California’s second quarter cannabis tax revenue was reported at $263.1 million by the California Department of Tax and Fee Administration on Wednesday.
- That total is comprised of $154.3 million in cannabis excise tax and $108.8 million from sales tax collected from cannabis businesses.
- There are still outstanding returns that need to be processed, meaning the total for the second quarter is expected to slightly increase.
Go deeper: The first quarter cannabis tax revenue this year was $266.4 million, meaning California has collected just under $530 million in cannabis tax revenue so far this year.
- Eligible cannabis vendors retained nearly $920,000 in vendor compensation in the second quarter of this year.
- Eligible vendors are allowed to retain 20 percent of the cannabis excise tax due on their retail sales of cannabis or cannabis products for a 12-month period, as part of a program that runs through 2025.
Flashback: California’s cannabis tax dates back to November 2016, when voters approved Proposition 64 to legalize marijuana in the Golden State.
- The tax took effect in January 2018, levying a 15 percent cannabis excise tax on purchases.
- The state also enacted a cultivation tax at the same time, which was removed in July 2022.
- The $6.3 billion total since 2018 includes $3.3 billion in cannabis excise tax, $2.5 billion in sales tax and $501 million in cultivation tax.
