Data released in late May by the Nevada Department of Taxation indicate that marijuana sales in the state have greatly surpassed expectations. In a press release that can be found on the department’s website, the Silver State’s “Marijuana tax revenues totaled $7.09 million in March,” with total sales of slightly more than $41 million. Sales and their tax revenue have steadily outpaced projections since July of 2017, when recreational sales began in the state.
Hundreds of millions in sales in nine months
The first nine months of the state’s fiscal year have garnered nearly $386 million in total sales. These have generated nearly $49 million in excise tax collections, which have almost reached the $50 million mark that was predicted for the entire fiscal year (July 2017-July 2018). Since August of 2017, wholesale revenues have been in the range of $2 million per month and are climbing. According to the release, “March numbers continue to point to a strong likelihood that Nevada will close out the fiscal year this June with much more robust marijuana revenue collections than anticipated.”
The release says that “Total taxable sales of adult-use marijuana to date is $304.73 million.” Marijuana buds accounted for a little less than half of retail sales, with concentrates second at almost 25 percent and edibles at almost 13 percent. Most of the remaining sales went to pre-rolled joints. Nevada’s retail tax rate for marijuana is 10 percent, and its wholesale tax is 15 percent. After paying for administration of marijuana regulations, the tax revenue is slated for one of the state’s school budget accounts and for the state’s Rainy Day Fund. Nevada’s population is slightly less than three million. In 2017, 602,463 Nevadans voted to legalize marijuana.
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