As of September 30, 2016, the Oregon Department of Revenue has received $40.2 million in marijuana tax payments. In 2014 it was estimated that legalizing marijuana could produce an additional $38.5 million in taxes for Oregon in the first year, according to an economic study financed by the legalization campaign. With three months remaining in the year it’s possible tax collections on marijuana could be nearly $45 million.
That’s equivalent to less than one-half of 1 percent of the state’s general fund budget of $8 billion a year. But the projected revenues are also nearly a quarter of the entire budget of the Oregon State Police.
Medical marijuana dispensaries started collecting a 25-percent tax on their recreational marijuana sales in January.
With licensed retailers now selling recreational marijuana in some areas, consumers may see a lower tax rate on their receipts. “Retailers” are those selling recreational marijuana who have been licensed by the Oregon Liquor Control Commission (OLCC). Licensed retailers must charge a 17-percent tax on all recreational marijuana sales. Dispensaries must continue to charge the 25-percent tax rate until early-start provisions expire at the end of this year.
For dispensaries, third-quarter marijuana tax returns are due by October 31, 2016. Forms, instructions, and important information about filing and payment requirements are available at www.oregon.gov/dor/marijuana. If dispensaries or retailers need additional assistance, they can contact the Marijuana Tax Program at 503-947-2597 or marijuanatax.dor@oregon.gov
Visit www.oregon.gov/dor to get tax forms, check the status of your refund, or make tax payments; or call 1 (800) 356-4222 toll-free from an Oregon prefix (English or Spanish); (503) 378-4988 in Salem and outside Oregon; or email, questions.dor@oregon.gov. For TTY (hearing or speech impaired), call 1 (800) 886-7204.
