Since launching its adult marijuana market, Massachusetts has picked up $150 million in tax revenue
There are still several people out there who see the legal cannabis industry through unimpressed eyes, but, just by looking at what is visible to the naked eye, this is a great business opportunity for all states. The latest financial report coming from Massachusetts and its recreational cannabis industry shows why. Adult cannabis sales have brought in more than $150 million in tax revenue since the beginning of operations, according to the Commonwealth Dispensary Association (CDA). The data obtained by the Cannabis Control Commission (CCC) has recorded more than $785 million in gross cannabis sales since the market was legalized in November 2018.
The tax collected by the state’s authorities comes from a standard 6.25% tax rate, a 10.75% excise tax and as much as a 3% local tax, which altogether counts for more than $150 million in revenue. “This tax revenue milestone is a big moment for the Massachusetts cannabis business community because it shows not only the great demand for safe, regulated cannabis but also affirms the meaningful value this industry brings to cities and towns every single day,” said CDA President David Torrisi, in a statement.
Taking a look at the most recent market behavior, between Memorial Day – which is when the restrictions were lifted for adult-sales dispensaries in MA – and August 4, the state received $30 million in tax revenue. “We know the hardship that COVID-19 has imposed on local and state budgets, and we are proud to help provide steady revenue streams that can hopefully reduce the need for difficult choices and maintain services,” Torrisi said. “Although this nascent industry is still being built up and representation continues to be a work in progress, we’re extremely encouraged that its benefit to Massachusetts has been immediate and can support the Commonwealth in this time of need.”