Cannabis Business Tax Rate Increases to 8% of Gross Receipts on July 1, 2026

Author: Auditor-Controller-Treasurer-Tax Collector
Date: 7/17/2026 11:28 AM

Starting July 1, 2026, all cannabis business operators in the unincorporated areas of the County must collect tax at an 8% rate.

In 2018, San Luis Obispo County voters approved the Cannabis Business Tax (CBT), a measure applicable to cannabis businesses operating within the county's unincorporated areas. This voter-approved measure stipulates an automatic 2% increase in the cannabis tax rate each July 1st, up to a maximum of 10%, unless the Board of Supervisors votes to hold or reduce the tax rate.

Because the rate was not modified before the start of the fiscal year, the CBT rate increased automatically to 8% on July 1, 2026, under the terms of the voter-approved measure. All cannabis business transactions taking place in the county's unincorporated areas are now taxed at 8%. Per County Code, cannabis businesses must report and remit the CBT collected during the July 2026 period on or before the last day of the following month - August 31, 2026.

Please note that the Board of Supervisors may consider the Cannabis Business Tax rate at an upcoming meeting. Any change resulting from Board action will be posted here, on the ACTTC News page. Cannabis businesses are encouraged to check back for updates.

Should you have any questions, please contact the ACTTC Public Service team at [email protected]. You can find more information about the CBT on the Tax Collector's CBT Information page.