ANNAPOLIS, Md. (June 16, 2026) — The Maryland Office of the Comptroller today announced that the State of Maryland collected $26.2 million in cannabis sales tax revenue between January and March 2026. Maryland law imposes a 12% sales and use tax on retail sales of adult-use cannabis and cannabis products and redistributes those funds across the state.
Here is a regional breakdown of the revenue:
|
Region |
Revenue Collected |
|
Capital |
$6,200,393 |
|
Central |
$10,693,685 |
|
Eastern |
$3,079,595 |
|
Southern |
$1,545,527 |
|
Western |
$4,677,446 |
|
Total |
$26,196,646 |
On July 1, 2025, the sales and use tax for cannabis increased from 9% to 12%, in accordance with the Budget Reconciliation and Financing Act of 2025. The additional 3% is allocated to Maryland’s General Fund, before additional allocations are made, as outlined in the Cannabis Reform Act of 2023.
The allocations for January to March are as follows:
Maryland General Fund (Initial 3% Distribution): $6,549,162
Maryland Cannabis Administration: $7,476,322.67
Maryland Department of Social and Economic Mobility: $5,332,359
Community Reinvestment and Repair Fund: $2,393,931
35% of quarterly revenues fund community-based initiatives serving areas disproportionately impacted by the enforcement of cannabis prohibition prior to July 1, 2022. Funds from the CRRF will be distributed to each county based on percentages formulated by the Office of Social Equity.
Maryland Counties: $341,990
5% of quarterly revenue is allocated to Maryland counties based on the percentage of revenue collected from that county. Counties will then distribute 50% of funds to municipalities with cannabis dispensaries that contribute to sales and use tax revenue.
Cannabis Public Health Fund: $341,990
5% of quarterly revenues will be distributed to the Cannabis Public Health Fund to address the health effects associated with the legalization of adult-use cannabis.
Cannabis Business Assistance Fund: $341,990
5% of quarterly revenues will be distributed to the Cannabis Business Assistance Fund through FY 2028 to assist small, minority-owned, and women-owned businesses entering the adult-use cannabis industry.
Net to Maryland General Fund: $3,419,901
The Office of the Comptroller releases quarterly reports on the tax revenue generated from cannabis sales in the state, available here.
The Maryland Cannabis Administration has developed information and resources for responsible adult cannabis use, available here.
