California ends cannabis cultivation tax
Some relief is coming to cultivators in California! No, it’s not rain, but equally as important for the licensed growing community.
On June 30th, Californian Governor Gavin Newsom (D) signed the new state budget, which notably excluded cultivation taxation, and capped cannabis excise taxes at 15% (for the next three years).
This move to eliminate certain taxes will benefit the everyday consumer, growers, and retailers alike. By removing cultivation taxes the Californian community should see a decrease in the overall cost of cannabis, as growers will have the ability to price accordingly – without having to factor in cultivation taxes.
While the funds generated from cultivation taxes were earmarked for youth organizations, a guaranteed level of support will continue.
In addition to helping cultivators enjoy a sense of financial stability, this move will help reduce California’s thriving illicit cannabis market. As growers can more appropriately price their cannabis, so can retailers, helping to put pressure on the black market by creating a more competitive landscape for quality cannabis.
To read more about these monumental changes, check out the original article here: Ganjapreneur