COLUMBUS, Ohio — Recreational marijuana sales have not officially started yet in Ohio months after voters passed a measure for adult-use sales.
Right now, the Ohio Division of Cannabis Control has issued 34 facilities a certificate of operation and nearly 200 more have a provisional license. When sales begin, they will, of course, be taxed.
The state is estimating that tax revenue could be up to $206 million a year. Recreational marijuana products will be taxed 5.75% in state sales tax, and an additional 10% excise tax. But where will the tax revenue go? According to Ohio law, the revenue will go into 4 funds:
- 36% of the funds will go towards cannabis social equity and jobs fund.
- 36% will go toward host community cannabis fund.
- 25% to substance abuse and addiction fund.
- 3% to the Division of Cannabis Control and tax commissioner fund
Representative Bride Sweeney said the cannabis social equity and jobs fund is one of the most important because it will benefit minorities who were hurt by the criminalization of marijuana in the past.
“First and foremost, that money set aside will be able to increase that minority participation to actually benefit, make a living, have a good paying job and be a business owner within this space that has often left behind minorities,” said Rep. Sweeney.
The money being allocated towards addiction is something the representative said is currently underfunded.
“We do not have enough mental health experts in this state and these dollars can help grow that field,” she added.
Recreational marijuana sales could start anytime. The Division of Cannabis Control said right now there is no exact date.
Rep. Sweeney thinks sales will begin in Ohio before the legislature gets back to session in November.