Vermont’s adult cannabis industry has experienced rapid growth. According to the Vermont Department of Taxation, a cannabis store in Vermont sold $2.6 million worth of product in October, the first month of legal cannabis sales.
“Actually, it kind of tracks our projections pretty closely,” said Bryn Hare, executive director of the Vermont Cannabis Control Board. Said seven days. “If we can run on those numbers, if we keep getting our licenses, we can get the tourism revenue into the state that we were hoping for. think. [fiscal year 2023]”
According to James Pepper, chairman of the Vermont Cannabis Control Board, $2.1 million to $2.4 million in sales tax can be collected during the first nine months of cannabis sales. This equates to $267,000 for him out of about $233,000 a month. “It looks like they were accurate in our predictions,” Pepper said.
Seven Days reports that the Vermont Legislature’s Joint Finance Office forecast higher numbers, with annual revenues ranging from $3.3 million to $9.1 million.
2020 Vermont became the 11th state Tax and regulate cannabis. Two years later, sales are starting to show returns. Vermont recently officially opened its doors to adult-use cannabis sales, with three community stores opening their doors to customers.
The three retailers opening this weekend were FLORA Cannabis in Middlebury, Mountain Girl Cannabis in Rutland, and CeresMED in Burlington, according to the report. Associated Press“Fourth business licensed to sell recreational pots, but not ready yet”.
Vermont’s 2018 law, signed into law by Republican Governor Phil Scott, does not establish a regulatory framework for the adult-use cannabis market, making Vermont an outlier compared to other states with legal cannabis. That changed in 2020 when state legislators approved a bill establishing a regulated marijuana industry.
Vermont Cannabis Tax Structure
Officials also say the state has collected $329,231 in excise tax revenue —set to 14%— Within two months of launch. The patron also has to pay his 6% sales tax on Vermont general sales, which is worth an additional $144,000 to the state.
“These numbers are actually on track with the numbers predicted by our financial model,” said Nellie Marvel of the Vermont Cannabis Control Board. Said WCAX. The state now has 20 stores, and Marvel says it expects taxes to steadily increase. It’s a function of the number of licensed growers, yields and visitor numbers in the state.”
Under Vermont law, a portion of sales tax revenues is allocated to cover the Board of Trustees’ budget deficit. Of the remaining excise revenue, 70% goes to the state’s General Fund and 30% goes to the Substance Abuse and Prevention Fund. Cannabis sales tax revenues are allocated to after-school and summer study programs.
The Board of Trustees has approved 36 cannabis store licenses statewide, according to the latest tally.
Cannabis stores are stocking up in anticipation of busy days during the holidays. Said My Champlain Valley. “Everyone getting ready to go home to their families.