US (CA): Long Beach looks to 'relax the tax' on cannabis

Members of the legal cannabis industry spoke in support of lowering cannabis taxes on Tuesday, May 10, before Long Beach City Council approved two cannabis-related items after conducting a study on the impacts of lowering the retail tax in the city and supporting state legislation that would reduce cultivation taxes.

“Not only does this modernization of retail taxes help make legal cannabis products more affordable to patients and residents but also widens the tax base of residents able to purchase legal cannabis products and reduces the size of the illicit market,” said Natasha Brahmbhatt, CEO of local cultivator Hey Bud.

The Long Beach Collective Association (LBCA), a cannabis advocacy group, invited the public to attend the meeting and distributed signs to attendees that read “Make My Cannabis Affordable.”

Currently, Long Beach charges a 6% retail tax rate on cannabis purchased by someone with a medical cannabis recommendation and an 8% retail tax rate on cannabis purchased for adult use. The feasibility study will look at the potential impacts of lowering the 8% city retail tax on adult-use products to 6% to match the retail tax for medical cannabis sales.  

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