When looking at CBD from a sales tax perspective, it is important to note that state laws vary widely on the topic. Some states only allow usage for medical treatments. Others limit the amount of THC content found in CBD. New York taxes CBD oil as Tangible Personal Property, stating this product does not qualify as a health supplement or medicine. CBD is subject to a 7% excise tax. California has a cannabis excise tax of 15% to all cannabis retailers from distributors in California. The retailers then charge their consumers the excise tax as well. However, CBD products that are derived from hemp and contain only traces of THC are not subject to cannabis excise tax but are subject to sales tax as the sale of TPP. Florida’s CBD oil is taxable as TPP unless it qualifies for a medicinal product or is sold by a Medical Marijuana Treatment Center. Vermont considers CBD as TPP which is subject to a 6% rate. In Louisiana, sales of hemp-based CBD products are subject to a 3% excise tax for retail sales.