California activists are urging lawmakers to pass a bill this week to delay the implementation of a planned hike on marijuana taxes. The tax increase would raise the rate from 15 percent to 19 percent, effective July 1. Under the legislation, the increase would be delayed for five years. The Assembly is expected to take up the measure this week.

California Bill to Pause Cannabis Tax Hike Heads to Assembly Floor Vote

Jun 2, 2025

Source:

Kyle Jaeger

Marijuana Moment

California is currently at a crossroads regarding its cannabis tax policy, with a significant vote scheduled for this week that could offer a major win for the community. Activists and industry leaders are pushing hard for a bill that would postpone a planned excise tax hike—set to jump from 15% to 19%—for at least five years. Proponents argue that increasing costs now would only fuel the illicit market and make legal products even less accessible for medical patients and casual tokers alike.

This legislation is a huge deal for anyone who walks into a dispensary. California already taxes cannabis more heavily than alcohol or tobacco, and an additional 4% increase would inevitably lead to higher shelf prices. By delaying this hike until 2030, lawmakers would give the legal industry breathing room to stabilize and compete with underground sellers. For the average enthusiast, this means potentially keeping more cash in your pocket and ensuring that the legal, tested market remains a viable option rather than a luxury.