Plain English Breakdown
The official source states the bill 'passed both chambers' in metadata but also lists a hearing cancellation; the effective date is listed as empty.
Cannabis Donations for Seniors
This bill allows licensed cannabis retailers to give free cannabis products to people aged 65 and older or their senior caregivers, exempting these donations from state excise tax and use tax for five years.
What This Bill Does
- Authorizes retail licensees to provide free cannabis or cannabis products to persons 65 years of age or older or a senior caregiver if specified requirements are met.
- Exempts donated cannabis from the state excise tax when given to persons 65 years of age or older.
- Exemts donated cannabis from the state use tax for five years after the law's operative date, provided specific conditions are met.
- Requires retailers to certify in writing that the product will be used as specified by the bill.
- Makes licensees liable for paying back taxes and subject to license suspension if they misuse the donation exemption or provide false information.
- Requires the Legislative Analyst's Office to collect data on the tax exemptions and submit an annual report to the Legislature and Governor.
Who It Names or Affects
- Licensed cannabis retail sellers
- Persons aged 65 years or older
- Senior caregivers as defined by the bill
Terms To Know
- Excise Tax
- A tax charged on specific goods, such as cannabis products.
- Use Tax
- A tax applied to the storage or use of property purchased from a retailer within the state.
- Licensee
- A person or business that holds an official permit to sell cannabis products.
Limits and Unknowns
- The use tax exemption lasts only for five years after the law's operative date.
- Retailers who misuse donated products may owe back taxes and face license suspension.
- The state will not reimburse local agencies for lost sales or use tax revenue caused by this bill.