Vermont is charging sales taxes on CBD, a departure from the state’s position on medical marijuana and other drugs.
A recent ruling by Vermont’s Department of Taxes stated that “cannabidiol products do not qualify as ‘drugs'” and should be taxed Vermont’s 6% sales and use tax.
Medical marijuana, on the other hand, is exempt from sales taxes in Vermont, the same as prescription drugs.
The taxation ruling was requested by retailers selling CBD products, the Seven Days weekly newspaper in Burlington reported.
“We wanted to make sure we were doing everything in accordance with the law,” said David Mickenberg, a lawyer representing CBD retailer Ceres Natural Remedies.
But Vermont’s CBD tax ruling doesn’t clear up whether food products containing CBD should be taxed. Food in Vermont is not subject to sales tax.
Tax Department Commissioner Kaj Samsom said in the September ruling that when it comes to food containing CBD, “I do not believe we have encountered this question with all the necessary relevant facts.”
