State of Maine Update
Effective immediately, OMP will begin requiring all current and future registered caregivers to provide an active Maine Revenue Services (MRS) sales tax registration number upon initial application or renewal.
Medical marijuana is subject to tax as tangible personal property in Maine. Every registered dispensary and registered caregiver transacting sales of medical marijuana is required to register with the State Tax Assessor as a seller and to collect and remit sales tax. Business to business transactions destined for resale to certified patients may be exempt from sales tax, provided the purchaser obtains a resale certificate from MRS and provides that information to the seller.
The Internal Revenue Service (IRS) recently announced the availability of new resources for marijuana-related entities to comply with their federal tax obligations. Covering topics such as business tax deductions, paying your taxes with cash, and general income reporting, the IRS states that these resources are, “a key component in promoting the highest degree of voluntary compliance…”
MMMP registrants and Adult Use Marijuana Program (AUMP) licensees with questions about their tax obligations should consider contacting a qualified accountant.