What U.S. state charges the most sales tax on weed? Here’s a breakdown of all 21 states

STATEN ISLAND, N.Y. – There are 21 states across the nation where recreational adult-use weed is legal and each one of those states taxes the sale of weed differently.

New York legalized adult-use weed in March 2021 when former Gov. Andrew Cuomo signed the Marijuana Regulation and Taxation Act, but the first dispensary didn’t open up until December 2022 under Gov. Kathy Hochul.

Cuomo initially proposed a 20% tax on weed in New York, however, the retail tax is currently 13%.

Of the 13% tax on retail weed sales, 9% goes to the state and 4% goes to the local government where a dispensary is located and the sale is taking place.

New York is one of three states that imposes an additional tax based on the potency of the weed’s THC content; Connecticut and Illinois also add an additional tax based on THC content.

In addition to different methods of sales tax and potency tax, some states also add additional taxes, such as excise tax and/or a locality tax as well as sales tax.

Here’s how each of the 21 states where recreational adult-use marijuana is legal taxes consumers:

ALASKA

Mature flower – $50 per ounce

Immature flower – $25 per ounce

Trim – $15 per ounce, $1 per clone

ARIZONA

16% excise tax on retail price

CALIFORNIA

15% excise tax

Flower – $9.65 per ounce and $2.87 per ounce leaves cultivation tax

Fresh cannabis plant – $1.35 per ounce

COLORADO

15% excise tax on retail price

3% tax on retail price

CONNECTICUT

There are three different retail taxes on cannabis in Connecticut:

6.35% sales tax

3% local sales tax

Tax based on THC content:

$0.00625 per milligram of THC in plant material

$0.0275 per milligram of THC in edibles

$0.09 per milligram of THC in non-edible products

ILLINOIS

Flower or products with less than 35% THC – 10% tax

Flower or products with more than 35% THC – 25% tax

Edibles and cannabis infused products – 20% tax

MAINE

Flower – $335 per pound

Trim – $94 per pound

Immature plant or seedling – $1.5 each

Seed – $0.3 each

10% sales tax retail price

MASSACHUSETTS

10.75% excise tax

6.25% state sales tax

Up to 3% local option for cities and towns

MICHIGAN

10% excise tax retail price

6% sales tax

MONTANA

20% excise tax retail price

NEVADA

10% excise tax retail price

15% excise tax on fair market value at wholesale

Sales tax based on locality

NEW JERSEY

$10 per ounce, if retail per ounce is $350 or more

$30 per ounce, if retail per ounce is between $250 and $350

$40 per ounce, if retail per ounce is between $200 and $250

$60 per ounce, if retail per ounce is less than $200

All transactions are subject to sales tax of 6.625% plus a social equity excise fee of 1/3 of 1%.

NEW MEXICO

$12 excise tax retail price

5.13% sales tax

OREGON

17% excise tax retail price

3% sales tax per locality

RHODE ISLAND

10% state excise tax retail price

3% local excise tax retail price

VERMONT

14% excise tax retail price

6% sales tax

Local option tax based on locality

WASHINGTON

37% excise tax retail price

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