California Marijuana Tax Collections Slower Than Expected - NBC Southern California
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Marijuana in the Golden State and beyond

California Marijuana Tax Collections Slower Than Expected

Broad legal sales kicked off on Jan. 1. State officials had estimated California would bank $175 million from excise and cultivation taxes by the end of June.

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    California Marijuana Tax Collections Slower Than Expected
    Getty Images
    A customer buys cannabis products at MedMen, one of the two Los Angeles area pot shops that began selling marijuana for recreational use under the new California marijuana law today, on January 2, 2018 in West Hollywood, California. Los Angeles and other nearby cities outside of West Hollywood have not finalized their local permitting rules so licenses to businesses in those jurisdictions are yet to be granted. (Photo by David McNew/Getty Images)

    So far, the sale of legal marijuana in California isn't bringing in the green stuff.

    Broad legal sales kicked off on Jan. 1. State officials had estimated California would bank $175 million from excise and cultivation taxes by the end of June.

    But estimates released Tuesday by the state Legislative Analyst's Office show just $34 million came in between January and March.

    Seth Kerstein, an economist with the office, says tax collections are expected to pick up significantly but it's unlikely California will reap $175 million by midyear.

    The lackluster figure appears to reflect a bumpy rollout of licenses for the state's new legal marketplace.

    Gov. Jerry Brown's administration will release its own tax figures later this week.

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