In November 2022, Maryland voters approved a referendum to legalize marijuana for adult use. The Maryland Legislature passed the accompanying Cannabis Reform Act (H.B. 556/S.B. 516) in spring 2023. The bill took effect upon Governor Wes Moore’s signing on May 3, 2023.

Sales of adult use cannabis are permitted beginning July 1, 2023. Maryland law imposes a 9% sales and use tax on retail sales of adult use cannabis and cannabis products, which is the same rate that applies to the sale of alcoholic beverages.

The Office of the Comptroller is committed to supporting Maryland’s business community, including the state’s newly legal adult use cannabis industry. The agency administers the state’s sales and use tax, which includes responsibility for collecting the tax and distributing revenue from tax collected on retail sales of adult use cannabis.

For more information on cannabis laws, regulations, data and other related information, please visit the Maryland Cannabis Administration or the Office of Social Equity.

Do you still have questions? Send an email to cannabis@marylandtaxes.gov for further assistance.