I represent the tiny town of Sparks, OK, population about 250! Needless to say, I don't get much municipal experience here, and could use some advice. Here's our situation: We, like maybe many of the more rural towns, are having several "pot farmers" buying up land and starting to grow marijuana since Tit. 63 med marijuana passed. The townspeople are pushing to have one such farm that is adjacent to the town annexed so the town can tax them. Our municipal ordinances allow for taxation of personal property and of " Flowers, plants, shrubs, trees and other floral items, whether or not same was produced by the vendor, sold by persons engaged in florist or nursery business in this state . . . " I also looked at the medical MJ statute re: taxation, 63 O.S. Section 426, which I set forth below: A. The tax on retail medical marijuana sales will be established at seven percent (7%) of the gross amount received by the seller. B. This tax will be collected at the point of sale. Tax proceeds will be applied primarily to finance the regulatory office. C. If proceeds from the levy authorized by subsection A of this section exceed the budgeted amount for running the regulatory office, any surplus shall be apportioned with seventy-five percent (75%) going to the General Revenue Fund and may only be expended for common education. Twenty-five percent (25%) shall be apportioned to the Oklahoma State Department of Health and earmarked for drug and alcohol rehabilitation.- Have any of you dealt with taxation of med MJ? Do municipalities get any of the sales tax? (I've never done tax law, or even my own taxes! That is not my area.) The above section 426 seems to suggest it all goes to fund the regulatory office. Any ideas? -kim

The sales tax is assessed at the point of retail sale only. Sales by growers aren’t subject to tax. For retail, your municipality’s regular sales tax rates/rules apply. Kim Spady > On Nov 13, 2020, at 6:32 PM, Kim <kmps.jd@gmail.com> wrote: > >  > I represent the tiny town of Sparks, OK, population about 250! Needless to say, I don't get much municipal experience here, and could use some advice. Here's our situation: We, like maybe many of the more rural towns, are having several "pot farmers" buying up land and starting to grow marijuana since Tit. 63 med marijuana passed. The townspeople are pushing to have one such farm that is adjacent to the town annexed so the town can tax them. Our municipal ordinances allow for taxation of personal property and of " Flowers, plants, shrubs, trees and other floral items, whether or not same was produced by the vendor, sold by persons engaged in florist or nursery business in this state . . . " I also looked at the medical MJ statute re: taxation, 63 O.S. Section 426, which I set forth below: > > A. The tax on retail medical marijuana sales will be established at seven percent (7%) of the gross amount received by the seller. > > B. This tax will be collected at the point of sale. Tax proceeds will be applied primarily to finance the regulatory office. > > C. If proceeds from the levy authorized by subsection A of this section exceed the budgeted amount for running the regulatory office, any surplus shall be apportioned with seventy-five percent (75%) going to the General Revenue Fund and may only be expended for common education. Twenty-five percent (25%) shall be apportioned to the Oklahoma State Department of Health and earmarked for drug and alcohol rehabilitation.- > Have any of you dealt with taxation of med MJ? Do municipalities get any of the sales tax? (I've never done tax law, or even my own taxes! That is not my area.) The above section 426 seems to suggest it all goes to fund the regulatory office. > Any ideas? > -kim > -- > Oama mailing list > Oama@lists.imla.org > http://lists.imla.org/mailman/listinfo/oama_lists.imla.org