Medical Marijuana Purchases In New Jersey Are Now Tax-Free, Here's Why

Medical Marijuana Purchases In New Jersey Are Now Tax-Free, Here's Why

Starting July 1purchases of cannabis via New Jersey's Medicinal Cannabis Program are tax-free, as a result of a three-phase process enacted in 2019 when provisions to eliminate the tax were signed by Gov. Phil Murphy.

Now after years of paying higher than average prices for medical cannabis New Jersey MMJ patients can now buy medical cannabis products at a permitted dispensary at cheaper prices, reported New Jersey 101.5.

“Removing state sales tax on medicinal cannabis is consistent with Governor Murphy and the Legislature’s intent to prioritize patients and improve affordability,” said Jeff Brown, executive director of the New Jersey Cannabis Regulatory Commission. “As the sales tax has been phased out from 4% to 2% and now to 0% patients have been able to spend less on their medicine, further ensuring patients are prioritized over recreational consumers.”

Named after a 7-year-old boy who used cannabis to alleviate cancer symptoms, The Jake Honig Compassionate Use Medical Cannabis Act, applies only to medical cannabis, and it does not affect the sale of recreational marijuana, which kicked off in the Garden State in April.

Initially available in dispensaries run by seven marijuana operators, recreational cannabis was welcomed by New Jerseyans.

The NJ Cannabis Regulatory Commission revealed in May that consumers bought $24 million worth of cannabis in the first month of sales or roughly $5 million a week after a record-breaking first day when $2 million was spent.

Benzinga photo. Source: Image from Pixabay

Posted In: Jeff Brownmedical cannabisNew JerseyPhil MurphyRecreational MarijuanaSalesCannabisNewsRetail SalesMarkets

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