§ 65-10 — Tax imposed

Illinois § 65-10

• Jurisdiction: Illinois
• Topic: HEALTH AND SAFETY
• Ch. 410: PUBLIC HEALTH
• Act 410 ILCS 705/: Cannabis Regulation and Tax Act.
• Art.: Article 65 - Cannabis Purchaser Excise Tax

Text

(a) Beginning January 1, 2020, a tax is imposed upon purchasers for the privilege of using cannabis at the following rates: (1) Any cannabis, other than a cannabis-infused product, with an adjusted delta-9-tetrahydrocannabinol level at or below 35% shall be taxed at a rate of 10% of the purchase price; (2) Any cannabis, other than a cannabis-infused product, with an adjusted delta-9-tetrahydrocannabinol level above 35% shall be taxed at a rate of 25% of the purchase price; and (3) A cannabis-infused product shall be taxed at a rate of 20% of the purchase price. (b) The purchase of any product that contains any amount of cannabis or any derivative thereof is subject to the tax under subsection (a) of this Section on the full purchase price of the product. (c) The tax imposed under this Section is not imposed on cannabis that is subject to tax under the Compassionate Use of Medical Cannabis Program Act. The tax imposed by this Section is not imposed with respect to any transaction in interstate commerce, to the extent the transaction may not, under the Constitution and statutes of the United States, be made the subject of taxation by this State. (d) The tax imposed under this Article shall be in addition to all other occupation, privilege, or excise taxes imposed by the State of Illinois or by any municipal corporation or political subdivision thereof. (e) The tax imposed under this Article shall not be imposed on any purchase by a purchaser if the cannabis retailer is prohibited by federal or State Constitution, treaty, convention, statute, or court decision from collecting the tax from the purchaser.

Legislative History

(Source: P.A. 101-27, eff. 6-25-19; 101-593, eff. 12-4-19.)