NOTICE OF STATE TAX INCREASE (PROP 64)
BEGINNING JANUARY 1, 2018 A NEW CANNABIS TAX WILL BE IN EFFECT:
A 15% Excise Tax will be imposed upon purchasers of cannabis and cannabis products. Retailers are required to collect the excise tax from the purchasers.
All taxes will be paid to the CDTFA. (CALIFORNIA DEPARTMENT OF TAX AND FEE ADMINISTRATION)
More information can be found here: http://www.cdtfa.ca.gov/industry/cannabis.htm
MEDICAL CANNABIS TAX EXEMPTION
Patients who have a valid Medical Marijuana Identification Card (MMIC) are exempt from sales and use taxes, however, are NOT exempt from from the 15% excise tax.
Valid Medical Marijuana Identification Cards (MMIC) are issued to patients by the state of California Department of Public Health and can be obtained at your county health department office. — Los Angeles Department of Public Health HERE.
The state-issued MMIC will have a State of California seal and indicate whether the cardholder is a patient or a caregiver. The card will also contain the patient or primary caregiver’s photo, nine-digit ID number, a DPH website to verify the ID card, an expiration date, and the county that issued the card. Cards are valid for the duration of the physician recommendation or up to one year, at which time the card must be renewed.
A paper recommendation from a physician is NOT sufficient to qualify for this exemption. You MUST have a county issued MMIC card to exempt from sales and use tax.