An Act to Change How the Adult Use Cannabis Excise Tax Is Calculated
Maine Legislature, Session 131, LD 1392
Committee Amendment CA_B_S419 (Senate)
Amends: 36 MRSA §1811

COMMITTEEAMENDIYIENT"B "to SP 559, L D 1392, "An Act to Change How 
the Adult Use Cannabis Excise Tax Is Calculated" 
Amend the bill by stnkmg out the title and substitutmg the followmg 
'An Act to Change the Sales Tax on Adult Use Cannabis' 
Amend the bill by stnkmg out everythmg after the enactmg clause and msertmg the 
followmg 
'Sec. 1. 36 MRSA §1811, sub-§1, ,fA, as amended by PL 2019, c 607, Pt B, §2, 
is repealed 
Sec. 2. 36 MRSA §1811, sub-§1, ~' as amended by PL 2019, c 607, Pt B, §3, 
is repealed 
Sec. 3 36 MRSA §1811, sub-§1, ,fC, as amended by PL 2019, c 607, Pt B, §4 
and PL 2021, c 669, §5, is repealed 
Sec. 4. 36 MRSA §1811, sub-§1, ~' as amended by PL 2021, c 578, §4, c 658, 
§286 and c 669, §5, is further amended by amendmg subparagraph (5) to read 
(5) Ten percent on the value of adult use cannabis, adult use cannabis products 
and, if sold by a person to an md1vidual who is not a qualifymg patient, cannabis 
and cannabis products begmnmg on the first day of the calendar month m which 
adult use cannabis and adult use cannabis products may be sold m the State by a 
cannabis establishment licensed to conduct retail sales pursuant to Title 28-B, 
chapter 1, except that the applicable tax rate under this subparagraph 1s 12 5% for 
sales occurrmg on or after January 1, 2024 and before January 1, 2025 and 15% 
for sales occurrmg on or after January I, 2025 
Sec. 5. Application. This Act applies to sales occurrmg on or after January 1, 2024' 
Amend the bill by relettenng or renumbermg any nonconsecutive Part letter or sect10n 
number to read consecutively 
COMMITTEE AMENDMENT 
COMMITTEEAMENDMENT"l3"to SP 559,LD 1392 {~4/'fJ 
SUMMARY 
This amendment replaces the bill and changes the title The amendment provides for 
an mcrease m the sales tax on adult use cannabis to 12 5% m 2024 and 15% m 2025 
FISCAL NOTE REQUIRED 
(See attached) 
COMMITTEE AMENDMENT 
Approved 06/21 /23 ;t;?ae 
LD 1392 
LR 410(03) 
An Act to Change How the Adult Use Cannabis Excise Tax Is Calculated 
Fiscal Note for BIii as Amended by Committee Amendment 'i1.'' {5-t..fl'f) 
Committee: Taxation 
P 
Net Cost (Savmgs) 
General Fund 
Revenue 
General Fund 
Other Special Revenue Funds 
Fiscal Detail and Notes 
Fiscal Note Required: Yes 
Fiscal Note 
FY 2023-24 
FY 2024-25 
ProJectmns 
FY 2025-26 
Pro1ect1ons 
FY 2026-27 
($1,472,000) 
($6,843,000) 
($11,612,000) 
($13,104,000) 
$1,472,000 
$201,000 
$6,843,000 
$1,266,000 
$11,612,000 
$2,327,000 
$13, I 04,000 
$2,623,000 
This bill mcreases the sales tax on adult use cannabis and adult use cannabis products to 12 5% as of January 1, 2024 
and 15% as of January I, 2025 The net impact to the General Fund 1s an mcrease m revenue of $1,472,000 m fiscal 
year 2023-24 and $6,843,000 m fiscal year 2024-25, This total mcludes mcreased cannabis sales tax revenue of 
$1,912,000 m fiscal year 2023-24 and $9,249,000 m fiscal year 2024-25, combmed with decreased cannabis excise 
tax revenue of $239,000 m fiscal year 2023-24 and $1,140,000 m fiscal year 2024-25 and mcreased transfers to the 
Local Government Fund and to the Adult Use Cannabis Pubhc Health and Safety and Mumc1pal Opt-m Fund totalmg 
$201,000 m fiscal year 2023-24 and $1,266,000 m fiscal year 2024-25 
LR0410(03) - Fiscal Note - Page 1 of 1