Topical low THC sales by health care professionals

From the 2024 DOR Tax Exemption Study

82.08.9998(1)(d); 82.12.9998 - Topical low THC sales by health care professionals Description Sales by health care professionals of topical, non-ingestible products containing THC with a THC concentration of 0.3% or less, are exempt from sales and use taxes. Purpose To exempt medically beneficial cannabis from sales and use taxes. Taxpayer ($ in millions): savings FY 2024 FY 2025 FY 2026 FY 2027 State Taxes $0.014 $0.014 $0.014 $0.014 Local Taxes $0.006 $0.006 $0.006 $0.006 Repeal of Repealing this exemption would increase revenues. exemption Potential ($ in millions): revenue gains FY 2024 FY 2025 FY 2026 FY 2027 from full repeal State Taxes $0.000 $0.013 $0.014 $0.014 Local Taxes $0.000 $0.006 $0.006 $0.006 Assumptions - This repeal takes effect July 1, 2024, and impacts 11 months of collections in fiscal year 2025. - Growth is minimal therefore annual amounts remain constant. - Local revenue estimates use the statewide average local sales and use tax rate of 2.92%. Data Sources - Department of Revenue, Excise tax data Additional Additional Information Information Category: Individuals Year Enacted: 2015 Primary Beneficiaries: Medical cannabis recipients Taxpayer Count: 3 Program