Retail marijuana could hit the shelves in Vermont in the fall of 2022, according to television station WCAX. The District of Columbia is set to have a regulated recreational market as soon as August 2022, but a proposed budget in Congress could keep a ban on sales in the district in place. Meanwhile, Guam officials in November 2021 got closer to launching the territory’s own industry by contracting with Metrc, a provider of cannabis regulatory systems.
READ: Recreational Marijuana: A Business Boon for States? ]
States have their own processes for licensing dispensaries, but in all states where marijuana is legal, businesses that sell marijuana must have a license from the state to do so.
The sales are regulated and taxed by the states at varying rates. Some states implement an excise tax on the sales, which are taxes on a particular good – in this case, marijuana – levied on the seller, which typically passes it on to the consumer by including it in the product’s price.
Provisions outlining the amount of marijuana an adult can legally possess, if adults can grow their own marijuana plants and how the tax revenue is spent vary from state to state.
Colorado – legalization measure approved November 2012
Adults over the age of 21 in Colorado can possess and give away up to an ounce of marijuana and grow up to six plants each, though residences are limited to 12 plants total no matter how many people live there. Using marijuana in public is illegal.
Retail purchases at licensed dispensaries are subject to standard sales tax, plus an additional 10% marijuana sales tax. A 15% excise tax is applied to the wholesale price of retail marijuana – that is, the price that businesses pay cultivators.
Washington – legalization measure approved November 2012
In Washington, adults over 21 can buy and possess up to an ounce of marijuana,16 ounces of marijuana-infused edibles in solid form, 72 ounces of marijuana-infused liquid products,and 7 grams of marijuana concentrates. It’s illegal to consume marijuana in public, and recreational users can’t grow the plants at home.
Retail sales are legal at licensed dispensaries and there is a 37% excise tax on those sales.
Alaska – legalization measure approved November 2014
Alaskan adults over the age of 21 can possess and give away up to an ounce of marijuana and can grow up to six marijuana plants, though only three of those plants can be mature. It’s illegal to consume the drug in public.
Retail sales are legal at licensed dispensaries. The state levies an excise tax on the drug that the cultivator is responsible for paying.
Oregon – legalization measure approved November 2014
Adults in Oregon who are over 21 years old can possess up to an ounce of marijuana if they are in public and up to 8 ounces at home. Adults can also have up to 16 ounces of a marijuana product if it is in solid form, like an edible, or up to 72 ounces of a marijuana product in liquid form. Adults can grow up to four cannabis plants. It’s illegal in Oregon to use marijuana in a public place.
Marijuana retail sales are legal at licensed dispensaries and taxed at 17%, and cities and counties can add up to an additional 3% tax in some cases.
Washington, D.C. – legalization measure approved November 2014
It is legal for adults over 21 to possess up to 2 ounces of marijuana and to give up to 1 ounce of marijuana to another person. Adults can also grow up to six marijuana plants, three of which can be mature.
Recreational cannabis sales are not legal in D.C., as Congressional Republicans have consistently included language in appropriations bills that prevents the District from establishing an independent regulatory board. Without licensed retailers, D.C.’s adult-use marijuana trade relies on gifting services.