The nonpartisan Legislative Analyst’s Office in the state of California estimates that during the 2020–21 fiscal year, the state collected roughly $817 million in recreational cannabis tax revenue. This amount is 50% more than the marijuana earnings for the state coffers that were generated in the previous fiscal year. The officials state that combined cultivation and excise tax revenue for the fourth quarter, which ended in June, equates to $211 million.
It should be noted that these figures do not include local revenues to municipalities where the transactions occur, nor do they take into account additional regular sales taxes generated from marijuana.
It is surprising that this trend of increased tax and sales revenue has been continuing amid the COVD-19 pandemic, which significantly contributed to an increase in unemployment and forced many businesses to shut down. The cannabis marketplace also grew considerably during this time, despite the fact that marijuana businesses are ineligible for the federal aid that was provided to other industries.
An analysis of new data by the state’s Department of Tax and Fee Administration also found that since 2018, total adult-use cannabis revenue to date for the state of California is $2.8 billion. This amount is inclusive of $1 billion in sales tax, about $348 million in cultivation tax and $1.4 billion in excise tax.
California isn’t the only state recording strong marijuana sales. A scientific analysis of sales data that was recently conducted in Washington State as well as in the states of Oregon, Colorado and Alaska has found that cannabis purchases have grown significantly during the coronavirus pandemic than in the past two years.
In the month of July, more than three states in the country hit new sales records for adult-use marijuana. The state of Missouri also saw record-breaking sales for its medical cannabis program. In the same month, the state of Illinois saw almost $130 million in recreational marijuana purchases, which is more than double its sales for July 2020. This makes July the fifth month that sales in the state have exceeded $100 million. Illinois may rake in over $1 billion in recreational cannabis sales by the end of the year if the trend continues.
In Maine, July’s recreational cannabis sales were more than $9 million, which is a 45% increase from its June sales record. Data from a regulatory body in the state of Michigan also shows that the state broke its cannabis sales record in July, with more than $170 million in marijuana transactions.
The soaring cannabis sales and the taxes generated in different jurisdictions paint a promising picture for the future of sector players such as Golden Triangle Ventures Inc. (OTC: GTVH), which focus on bringing only the best cannabis products to the market.
NOTE TO INVESTORS: The latest news and updates relating to Golden Triangle Ventures Inc. (OTC: GTVH) are available in the company’s newsroom at https://cnw.fm/GTVH
CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of two informative articles each business day. Our concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. Articles are released each business day at 4:20 a.m. and 4:20 p.m. Eastern – our tribute to the time synonymous with cannabis culture. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.
To receive instant SMS alerts, text CANNABIS to 21000 (U.S. Mobile Phones Only)
For more information please visit https://www.CNW420.com
Do you have questions or are you interested in working with CNW420? Ask our Editor
CNW420 is part of the InvestorBrandNetwork.