Gov. Gavin Newsom’s signing of the $308 billion state budget Thursday evening handed California’s struggling cannabis industry long-sought tax relief.
The state eliminated the cultivation tax on growers and capped the excise tax at point of sale at 15% for three years, moves hailed by industry advocates as a victory after a prolonged push in Sacramento to lighten the tax burden on the legal trade.
Growers have felt the pinch over the last two years as they watched the wholesale price plummet amid a glut of product. All the while, state taxes have gone up and the illicit market has remained intact.
– Read the entire article at North Bay Business Journal.