Cannabis Special Business Tax

The City of Shasta Lake has established a Commercial Cannabis Business Tax, pursuant to Chapter 3.17 of the Municipal Code.

Commercial Cannabis Business Tax on Commercial Cannabis Cultivation is to be initially (set by Resolution CC17-77 (PDF)) imposed as follows:

Commercial Cultivation

Tax Rate PeriodRate per s/f
All activities

N/A

Jan. 2018 to June 2018$1.00
July 1, 2018 to June 30, 2019$1.00
July 1, 2019 to June 30, 2020$2.00
July 1, 2020 to June 30, 2021$3.00
July 1, 2021 to June 30, 2022$4.00
July 1, 2022 forward$5.00


Tax on Commercial Cannabis Manufacturing is as follows:

Manufacturing

TaxRate per s/f
Manufacturing


$7.00


Other Commercial Cannabis Business Tax is as follows:

Other Commercial Cannabis

OperatorPercentage of Gross Receipts*
Cannabis Nursery3%
Dispensary6%
Distributor3%
Testing Laboratory0%
Transporter0%

*Definition from Section 3.17 in the Muni-Code for Gross Receipts: 

"Gross receipts" means the total amount actually received or receivable from all cannabis sales; the total amount or compensation actually received or receivable for the performance of any act or service, of whatever nature it may be, for which a charge is made or credit is allowed, whether or not such act or service is done as a part of or in connection with the sale of materials, goods, wares, or merchandise; discounts, rents, royalties, fees, commissions, dividends, and gains realized. Included in "gross receipts" shall be all receipts, cash, credits, and property of any kind or nature, without any deduction therefrom on account of the cost of the property sold, the cost of the material used, labor or service costs, interest paid or payable, or losses or other expenses whatsoever.

Business Tax Submission Process

Payment of Business Tax, Due Quarterly (date from permit issuance).

--> Complete the Business Tax Remittance Form (PDF)

--> Deposit Funds to: 

City of Shasta Lake, Finance Department
4477 Main Street, Shasta Lake, CA 96019