Cannabis is a growing business in California and so are its tax revenues, which have never been higher.
Third-quarter numbers released Monday by the California Department of Tax and Fee Administration (CDTFA) revealed a jump in cannabis tax revenue of almost 80% compared to Q3 last year. The state pulled in a total of $306.7 million for Q3 cannabis tax revenue in 2020, coming from an excise tax of $159.8 million, a cultivation tax of $41 million and sales tax of $105.9 million. This compares to just $170.7 million for Q3 2019.
Previously reported revenue for Q2 2020 was revised to $260.2 million, which included $135 million in cannabis excise tax, $30.7 million in cultivation tax and $94.5 million in sales tax. This represents an 52% increase over last year’s $156.8 million generated in Q2.
Similarly, Q1 tax revenues of $205.9 topped 2019’s total of $129.7 million by 58%.
Published: November 25, 2020