§ 39-26-729 — Retail sales of marijuana

Colorado § 39-26-729

• Jurisdiction: Colorado
• Title 39: Taxation
• Art.: Sales and Use Tax

Text

(1) (a) Except as otherwise provided
in subsection (1)(b) of this section, on and after July 1, 2017, all retail sales of
marijuana upon which the retail marijuana sales tax is imposed pursuant to section
39-28.8-202 are exempt from taxation under part 1 of this article 26 by the state or
by any special district or other limited purpose governmental entity that was not
levying sales tax on retail sales of marijuana under part 1 of this article 26 before
July 1, 2017. Notwithstanding any other law to the contrary, any special district or
other limited purpose governmental entity that was levying sales tax on retail sales
of marijuana under part 1 of this article 26 before July 1, 2017, retains its authority to
continue levying sales tax upon retail sales of marijuana under this article 26.

(b) Any metropolitan district that levies a general uniform sales tax as
authorized by section 32-1-1106 (1), health assurance district that levies a general
uniform sales tax as authorized by section 32-19-112 (1), or health service district
that levies a general uniform sales tax as authorized by section 32-19-112 (1) may
levy its general uniform sales tax on retail sales of marijuana upon which the retail
marijuana sales tax is imposed pursuant to section 39-28.8-202 regardless of
whether or not the district was levying any sales tax on such sales before July 1,
2017.

(2) The governing body of any special district or limited purpose
governmental entity that was levying sales tax upon retail marijuana sales before
July 1, 2017, and the governing body of any metropolitan district, health assurance
district, or health service district that is authorized by subsection (1)(b) of this
section to levy a general uniform sales tax on retail marijuana sales shall determine
whether the levying of such sales tax complies with the Colorado constitution and
applicable decisions of the Colorado supreme court and Colorado court of appeals
and, if the governing body of any such special district or limited purpose
governmental entity determines that additional voter approval is required to levy
sales tax upon retail sales of marijuana, the special district or limited purpose
governmental entity shall not resume levying sales tax upon such sales until voter
approval is obtained.

(3) The storage, use, or consumption of any retail marijuana that is exempt
from sales tax by operation of subsection (1) of this section is exempt from taxation
under the provisions of part 2 of this article 26.

Legislative History

Source: L. 2017: Entire section added, (SB 17-267), ch. 267, p. 1471, � 28, effective May 30. L. 2018: Entire section amended, (SB 18-088), ch. 3, p. 27, � 2, effective February 22; (1)(b) and (2) amended, (SB 18-259), ch. 406, p. 2390, � 2, effective January 1, 2019. L. 2021: (3) added, (HB 21-1177), ch. 55, p. 229, � 6, effective September 7.