The Mississippi Attorney General (AG) issued an opinion addressing whether excess funds collected from state-imposed taxes on medical cannabis may be invested in an SEC-registered money market fund. The opinion outlined that under Mississippi law, excise taxes and excess sales taxes from the sale of medical cannabis are deposited into the State General Fund. The AG found that if the State Treasurer and Executive Director of the Department of Finance and Administration determine the funds are excess and not required for current needs, and the State Treasurer determines the excess funds cannot be invested under certain statutory provisions, then the …
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Based on recent 2025-2026 developments, the Mississippi Attorney General (AG) Lynn Fitch has issued significant legal interpretations impacting both the taxation of medical cannabis and the legality—and thus taxability—of hemp-derived products.
1. Excess Medical Cannabis Tax Fund Investment (Jan 2026)
- Opinion Focus: The AG considered whether excess funds from state medical cannabis taxes could be invested in an SEC-registered money market fund.
- Tax Destination: State law directs excise taxes and excess sales taxes from medical cannabis to the State General Fund.
- Ruling: The AG’s opinion indicated that if designated as “excess” and not viable for investment under specific statutes, alternative investment avenues may be explored by the State Treasurer and Executive Director of the Department of Finance and Administration.
Source: Google
