Cannabis Tax


On May 30, 2023, a bill was signed to legalize the sale and use of recreational cannabis in Minnesota. Starting July 1, 2023, all sellers of taxable cannabis products must register with the Minnesota Department of Revenue to remit the new Cannabis Tax.

The Cannabis Tax is 10% of gross receipts from retail sales of taxable cannabis products.

You can sign up to receive Cannabis Tax Updates by email.


Sales that are exempt from Cannabis Tax include:

  • Products purchased on an Indian reservation from a seller licensed by the tribe.
  • Medical cannabis, which are items purchased by or for a patient enrolled in the state’s medical cannabis registry program.
  • Retailers purchasing the product for resale. Retailers purchase products exempt from sales tax by providing their vendor with Form ST3 Certificate of Exemption claiming the "resale" exemption. Retailers sell products to the end customer and are responsible for collecting sales tax on the product.

Legal Products to Sell

Currently, only edible cannabinoid products and nonintoxicating topical products are legal to sell.

Any products not listed here may not yet be legal in Minnesota. If you have questions on any product you are selling, email us at


Register to File and Pay the Tax

You must log in to your e-Services account and add the Cannabis Tax, for details and instructions see Add Local Tax and Other Taxes to a Sales and Use Tax Return.

If you are not registered, you must register for a Minnesota Tax ID Number. For details see Starting a Business.

Other Cannabis Tax Topics

Here are answers to questions you might have regarding Cannabis Tax.

Contact Info

Last Updated