Less than three months into Illinois’ new legal adult use cannabis market, the state says its tax revenue is already exceeding expectations.
Data released by the Illinois Department of Revenue reveals that Illinois cannabis sales generated more than $10 million in taxes in January 2020, the month when cannabis retailers opened their doors in the state (often leading to very long lines).
The Chicago Sun-Times’ Tom Schuba reported this week that the amount of cannabis tax collected in January, approximately $10.4 million, is more than twice what was predicted per month by Illinois Governor J.B. Pritzker, who previously estimated that Illinois would rake in around $28 million in the first six months of 2020.
As Merry Jane’s Zach Harris pointed out, Illinois dispensaries’ busy January also helped to make the state’s first month of sales the second highest ever of any US recreational cannabis program so far.
Based on Illinois cannabis regulations, the tax dollars will first be used to pay for administrative costs for the state’s legal industry, with 35% of the remainder going to the state’s general fund, and 25% toward Illinois’ cannabis equity and justice program, known as Restore, Reinvest, and Renew.
Source: Forbes
