California’s marijuana industry gets a break under new law suspending tax hike

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In summary California’s legal weed industry is still overshadowed by the larger black market. A new state law gives businesses a break by delaying a tax increase. The law will temporarily revert the cannabis excise tax to 15% until 2028, suspending an increase to 19% levied earlier this year. It’s applied to the cannabis industry under a 2022 agreement between the state and marijuana companies. For years, the cannabis industry has lobbied against the tax, arguing that it hurts an industry overshadowed by a thriving illicit drug market.