Cannabis Tax Rates by State

Cannabis tax rates vary dramatically across the United States. Some states impose combined rates exceeding 40%, while others keep taxes below 15% to compete with the illicit market. Explore every state's excise tax, sales tax, local tax options, and total effective rates below.

24
Recreational States
14
Medical Only States
37%
Highest Excise (WA)
$4.6B+
Combined Annual Revenue
Recreational
Medical Only
StateExcise TaxMax Rate
AlabamaALNone~9%
AlaskaAK$50/oz (weight-based)~13-20%
ArizonaAZ16%~24%
ArkansasAR6.5% privilege tax~17%
CaliforniaCA15%~40%+
ColoradoCO15%~36%
ConnecticutCT6.35%~20%
DelawareDE15%15%
FloridaFLNone0% (medical exempt)
HawaiiHINone~4.5%
IllinoisIL7-25% (THC-based)~41%
LouisianaLANone0%
MaineME10%15.5%
MarylandMD9%15%
MassachusettsMA10.75%20%
MichiganMI10%16%
MinnesotaMN10%16.875%
MississippiMSNone7%
MissouriMO6%~15%
MontanaMT20%23%
NevadaNV10%~25%
New HampshireNHNone0%
New JerseyNJSocial equity fee ($1.10-$1.52/oz transfer)~10-12%
New MexicoNM12%12%
New YorkNY9% (THC-based per mg)~25%+
North DakotaNDNone~7-8%
OhioOH10%~18%
OklahomaOK7% excise~16%
OregonOR17%20%
PennsylvaniaPA5% gross receipts tax5% (wholesale level)
Rhode IslandRI10%20%
South DakotaSDNone~6-8%
TexasTXNone0%
UtahUTNone~7-9%
VermontVT14%~21%
VirginiaVA21% (proposed)~30% (proposed)
WashingtonWA37%37%
West VirginiaWVNone~7%

Explore by State

Alabama

Medical Only
Excise TaxNone
Max Effective Rate~9%

Alaska

Recreational
Excise Tax$50/oz (weight-based)
Max Effective Rate~13-20%
Annual Revenue$30M

Arizona

Recreational
Excise Tax16%
Max Effective Rate~24%
Annual Revenue$200M

Arkansas

Medical Only
Excise Tax6.5% privilege tax
Max Effective Rate~17%
Annual Revenue$30M

California

Recreational
Excise Tax15%
Max Effective Rate~40%+
Annual Revenue$1.1B

Colorado

Recreational
Excise Tax15%
Max Effective Rate~36%
Annual Revenue$400M

Connecticut

Recreational
Excise Tax6.35%
Max Effective Rate~20%
Annual Revenue$50M

Delaware

Recreational
Excise Tax15%
Max Effective Rate15%

Florida

Medical Only
Excise TaxNone
Max Effective Rate0% (medical exempt)
Annual Revenue$200M (estimated fees/taxes)

Hawaii

Medical Only
Excise TaxNone
Max Effective Rate~4.5%
Annual Revenue$10M

Illinois

Recreational
Excise Tax7-25% (THC-based)
Max Effective Rate~41%
Annual Revenue$500M

Louisiana

Medical Only
Excise TaxNone
Max Effective Rate0%
Annual Revenue$10M

Maine

Recreational
Excise Tax10%
Max Effective Rate15.5%
Annual Revenue$50M

Maryland

Recreational
Excise Tax9%
Max Effective Rate15%
Annual Revenue$75M

Massachusetts

Recreational
Excise Tax10.75%
Max Effective Rate20%
Annual Revenue$200M

Michigan

Recreational
Excise Tax10%
Max Effective Rate16%
Annual Revenue$300M

Minnesota

Recreational
Excise Tax10%
Max Effective Rate16.875%

Mississippi

Medical Only
Excise TaxNone
Max Effective Rate7%
Annual Revenue$15M

Missouri

Recreational
Excise Tax6%
Max Effective Rate~15%
Annual Revenue$100M

Montana

Recreational
Excise Tax20%
Max Effective Rate23%
Annual Revenue$50M

Nevada

Recreational
Excise Tax10%
Max Effective Rate~25%
Annual Revenue$150M

New Hampshire

Medical Only
Excise TaxNone
Max Effective Rate0%
Annual Revenue$15M (licensing fees)

New Jersey

Recreational
Excise TaxSocial equity fee ($1.10-$1.52/oz transfer)
Max Effective Rate~10-12%

New Mexico

Recreational
Excise Tax12%
Max Effective Rate12%
Annual Revenue$50M

New York

Recreational
Excise Tax9% (THC-based per mg)
Max Effective Rate~25%+

North Dakota

Medical Only
Excise TaxNone
Max Effective Rate~7-8%
Annual Revenue$10M

Ohio

Recreational
Excise Tax10%
Max Effective Rate~18%

Oklahoma

Medical Only
Excise Tax7% excise
Max Effective Rate~16%
Annual Revenue$100M

Oregon

Recreational
Excise Tax17%
Max Effective Rate20%
Annual Revenue$200M

Pennsylvania

Medical Only
Excise Tax5% gross receipts tax
Max Effective Rate5% (wholesale level)
Annual Revenue$100M

Rhode Island

Recreational
Excise Tax10%
Max Effective Rate20%
Annual Revenue$15M

South Dakota

Medical Only
Excise TaxNone
Max Effective Rate~6-8%
Annual Revenue$10M

Texas

Medical Only
Excise TaxNone
Max Effective Rate0%
Annual Revenue$5M

Utah

Medical Only
Excise TaxNone
Max Effective Rate~7-9%
Annual Revenue$30M

Vermont

Recreational
Excise Tax14%
Max Effective Rate~21%
Annual Revenue$20M

Virginia

Recreational
Excise Tax21% (proposed)
Max Effective Rate~30% (proposed)

Washington

Recreational
Excise Tax37%
Max Effective Rate37%
Annual Revenue$600M

West Virginia

Medical Only
Excise TaxNone
Max Effective Rate~7%
Annual Revenue$5M

Disclaimer: The information on this page is provided for educational and informational purposes only and does not constitute tax or legal advice. Cannabis remains illegal under US federal law. State and local tax rates are subject to change and may vary by jurisdiction. Always verify current tax rates with official state tax authorities. Cannabismarketcap does not guarantee the accuracy or completeness of any information presented.