California collects $257M in second quarter cannabis tax revenues

SACRAMENTO, Calif. - This week, the California Department of Tax and Fee Administration (CDTFA) reported that $275.2 million was collected in cannabis tax revenue for the second quarter of 2022. This includes California’s cannabis excise tax, which generated $141.3 million; the cultivation tax, which generated $25.8 million; and $108.1 million in sales tax revenue from cannabis businesses. This figure does not include locally imposed taxes collected by the cities and counties of the state, nor does it include outstanding returns.

Previously reported revenue for the first quarter of 2022 returns was revised to $294.5 million, including $152 million in cannabis excise tax, $36.3 million in cultivation tax, and $106.2 million in sales tax. Revisions to quarterly data are the result of amended and late returns and other tax return adjustments.

Since January 2018, total cannabis tax revenue to date is $4 billion, including $2 billion in cannabis excise tax, $494.1 million in cultivation tax, and $1.5 billion in sales tax.

Governor Gavin Newsom signed cannabis tax reform legislation in 2022. The cultivation tax no longer applies to cannabis or cannabis products starting July 1, 2022. B

Additional cannabis tax revenue data is available on the CDTFA Open Data Portal.