US Edition
‘They’re Strangling the Golden Goose’; Tax Hike for Cannabis Retailers to Begin Tuesday
- On July 1, 2025, California raised its statewide excise tax on cannabis from 15 percent to 19 percent, impacting all retailers in the state.
- This increase stems from a three-year-old political deal allowing tax hikes after a pause meant to help the legal market stabilize.
- Industry advocates and county officials report declining tax revenue, oversaturated retail markets, and increasing shifts to illegal sales despite more shops opening recently.
- Assembly Bill 564, passed unanimously in May, aims to lock the excise tax at 15% for six years, but it still awaits Senate approval while Gov. Newsom supports halting the increase.
- The tax hike could exacerbate legal market struggles by pushing price-sensitive consumers to unlicensed sources and increasing financial burdens on enforcement and county budgets.
25 Articles
25 Articles
California cannabis operators brace for state tax hike
California’s excise tax on legal weed is increasing, despite efforts to keep it lower to help the struggling industry. This content ‘This tax could kill this industry.’ California cannabis operators brace for increase appeared first on inewsource.
Cannabis Revenue Continues to Fall as County Adjusts to Lower Revenue
Tax revenue from cannabis seems to be dropping in Santa Barbara County, and the costs of managing the industry soon could outpace the amount of money that it brings in. A report from the Santa Barbara County Civil Grand Jury found that the cost of the county’s cannabis enforcement could become a financial burden in the future. “While initially the county received a ‘green rush’ of cannabis tax revenue, that revenue has since declined steadily fr…
Manitoba hikes wholesale markup on cannabis, suggests window-covering rule may change
The price of cannabis is rising in Manitoba after the province's cannabis distributor slapped a higher markup on the products it sells to retailers — an added cost stores are passing down to consumers, in many cases.
Associated Press News
‘This tax could kill this industry.’ California cannabis operators brace for increase
A substantial tax hike for California’s faltering legal cannabis market is set to take effect despite an aggressive industry campaign to suspend the increase that won the support of Gov.
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