MJ Biz does a quick states round up
Maine’s adult-use marijuana tax will increase from 10% to 14% starting Jan. 1 under the $11.3 billion state budget Gov. Janet Mills signed into law this week.
That’s up from the 10% current special levy applied to cannabis – an increase of 40% – and is in line with the highest marijuana sales taxes in New England, according to the Tax Foundation.
Vermont also applies a 14% sales tax on recreational marijuana, according to the Tax Foundation, and Massachusetts’ adult-use sales tax is 10.75%.
Maine was staring down a projected $450 million deficit over the next two years.
In a statement, Mills said the Maine budget was the “product of various tradeoffs and compromises” amid significant uncertainty in the economy and from the federal government.
Other states are also mulling increases in marijuana taxes to offset gaping deficits.
Those include California, where lawmakers on Friday were still negotiating over a possible freeze in the state’s cannabis excise tax.
Separately, Maine’s Legislature adjourned Wednesday without taking action on a bill that would have legalized consumption lounges in the state, the Maine Morning Star reported.
Maine hikes adult-use marijuana tax 40%; consumption lounge bill stalls
