Now that Arizonans have legalized marijuana through Prop 207, many recreational marijuana users are already considering becoming medical marijuana patients, as it would save them 16% excise tax per marijuana purchase at a pharmacy – a tax that is not placed on patients . In other words, patients save $ 16 for every $ 100 they spend on marijuana compared to recreational shoppers.
For example, if recreational pharmacies decide to sell an ounce of marijuana for $ 300, the buyer will spend a total of $ 373.80 due to the $ 73.80 (24.6%) combined tax, of which $ 48 is the 16% excise tax, which is only charged for recreational marijuana sales.
Medical marijuana patients can also buy and own more marijuana than recreational users and foods of higher potency. The prices for medical marijuana purchases will also be lower.
Becoming a medical marijuana patient is fairly easy and inexpensive: every two years, medical marijuana patients have to pay for a doctor’s appointment of approximately $ 150 and a government fee of $ 150. This investment can lead to massive savings in pharmacies.
Arizona marijuana taxes
Arizona sales tax rate is currently 5.6%, and the state will also impose a 16% excise tax on all recreational cannabis sales. There are also city and district sales taxes to be considered. Below are examples of combined sales tax rates (for state, regional, and city taxes) on adult marijuana purchases compared to medical marijuana purchases for Phoenix and Tucson.
Phoenix Recreational Marijuana Sales
8.6% sales tax plus 16% excise tax equals 24.6% total tax on marijuana sales in Phoenix, Arizona.
Phoenix Medical marijuana sales
8.6% sales tax is the total tax on medical marijuana sales in Phoenix, Arizona.
Tucson Recreational Marijuana Sales
8.7% sales tax plus 16% excise tax equals 24.7% total tax on marijuana sales in Tucson, Arizona.
Tucson Medical Marijuana Sales
8.7% sales tax is the total tax on medical marijuana sales in Tucson, Arizona.
Learn how to get a medical marijuana card.