Commercial Cannabis Business Tax

The commercial cannabis business tax is a tax due for engaging in commercial cannabis business in the unincorporated area of Monterey County.  A commercial cannabis business is defined as any commercial business activity relating to cannabis, including but not limited to cultivating, transporting, distributing, manufacturing, compounding, converting, processing, preparing, storing, packaging, delivering, and selling (wholesale and/or retail sales) of cannabis and any ancillary products and accessories in the unincorporated area of the County, whether or not carried on for gain or profit. (MCC § 7.100.040(E)).

Monterey County Code (“MCC”) § 7.100* and the Administrative Rules and Procedures for Commercial Cannabis Business Tax promulgated by the Monterey County Treasurer-Tax Collector provide that all persons or entitles engaged in commercial cannabis activities, as defined therein, are subject to a commercial cannabis tax as of January 1, 2017. 

All proceeds from the tax imposed are placed in the County’s general fund and are used for general governmental purposes. *adopted July 12, 2016.