Medical marijuana dispensaries in Oregon that sell recreational cannabis must pay their first tax installment soon, but as of last week almost a quarter of them had not yet registered with the state’s tax department.
As of January, dispensaries selling recreational cannabis must pay a 25% tax on rec sales, with the first payment due by Feb. 29.
Despite the threat of late-payment penalties, 75 of the 320 dispensaries with approval to sell rec – or 23.4% – do not have accounts with the Oregon Department of Revenue, according to the Register-Guard newspaper.
Of the 245 stores that have registered, 38 have already submitted their taxes, while 60 have made appointments to deliver their taxes through the end of the month, a department spokeswoman told the paper.
The tax department sent reminder letters to the dispensaries about a month ago.
There are an estimated 402 medical marijuana dispensaries in the state, meaning roughly 80% currently have approval to sell recreational cannabis at this time.
Many dispensaries say the option to sell recreational cannabis has helped them keep their businesses afloat, but they also acknowledge the taxes and other costs have dampened their profits. The option, however, is only temporary, because after Dec. 31 only licensed rec stores will be able to sell adult-use cannabis.