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A second judge in Missouri, this time in Buchanan County, ruled that the Buchanan County government can collect an additional tax on adult-use cannabis sales on top of municipal taxes.
“To put it bluntly, the Court cannot accept Petitioner’s interpretation of ‘Local Government’ to prohibit the power of the County to impose such tax within the Saint Joseph City limits,” wrote Circuit Judge Daniel Kellogg in his decision.
“The definition of ‘Local Government’ includes both the City and the County. As such, both are authorized to impose and collect the tax.”
Vertically integrated cannabis company Vertical Enterprise of St. Joseph, Missouri, filed a lawsuit naming the Buchanan County Collector’s office, the Missouri Department of Revenue and the Buchanan County Clerk’s office over the additional 3% tax collected by the county.
Sales taxes already can reach 12% in Missouri, according to St. Louis Business Journal.
Local governments can issue an additional 3% tax on top of the 6% state tax.
“Consumers should be outraged,” Vertical CEO Chris McHugh said in the St. Louis Business Journal. “They’re paying this.”
St. Louis County Circuit Judge Brian May earlier this month similarly ruled that both counties and cities may both impose taxes on cannabis sales.
