Nearly 94% of cannabis excise taxes that marijuana businesses owed to the state of California have been paid, according to state officials, who also noted that both total sales as well as tax revenue declined in 2022.
Cannabis sales in California are subject to two main taxes: the state’s basic sales tax, which starts at 7.25% but can reach as high as 8.25% in certain jurisdictions, and a 15% excise tax unique to cannabis, which retailers must collect from customers and remit to the state.
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According to California Department of Tax and Fee Administration (CDTFA) data shared with MJBizDaily, 94% of excise taxes due had been paid as of May 16.
CDTFA reported $5.38 billion in taxable cannabis sales in 2022, and total taxes due on that amount is $1.11 billion.
The state reported $278 million in outstanding unpaid state taxes, according to CDTFA spokesperson
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