Cannabis Tax Hub by Cannabis Promotions

Connecticut Cannabis Tax Rate

20–30% Total Effective Tax

Administering Agency: Connecticut Department of Revenue Services  ·  Updated for 2026

20% – 26% Combined effective cannabis tax (excise + state sales + local)

Tax Breakdown

TaxRateNotes
State Cannabis Excise Tax10.75%Applied to retail gross receipts
State Sales Tax6.35%Medical cannabis exempt
Typical Local Sales Tax0%Average — actual rate varies by city/county
Local Cannabis Business TaxUp to 3%City-level cannabis-specific tax where allowed

Official source: Connecticut Department of Revenue Services ↗ · rates compiled 2026-08-11 · verify current rates at the source before filing.

How Medical Cannabis Is Taxed

Qualifying registered medical patients are exempt from the 10.75% state cannabis excise and the 6.35% state sales tax. On a $100 pre-tax purchase that's roughly $17.10 less than an adult-use sale (before any local taxes, which vary by ordinance).

Connecticut Cannabis Tax Notes

Connecticut is replacing its THC-potency tax (0.625¢/mg on flower, 0.9¢/mg on edibles, 2.75¢/mg on other products — roughly 10–15% of retail) with a flat 10.75% excise on gross receipts effective October 1, 2026, under a 2026 law. Combined with 6.35% state sales + 3% municipal tax, the effective rate runs ~20–26% under either structure. Medical cannabis is exempt.

City Cannabis Tax Rates in Connecticut

Cities in Connecticut can layer their own cannabis business tax on top of state taxes. Here are the reported rates for major cities — use the tax calculator to model a specific purchase:

CityCity Cannabis TaxTotal Effective Rate
Hartford 3% 20.1%
New Haven 3% 20.1%
Bridgeport 3% 20.1%
Stamford 3% 20.1%
Calculate a Connecticut Purchase → Compare with Another State → Connecticut Regulations →

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Frequently Asked Questions

What is the cannabis tax rate in Connecticut?
The combined effective cannabis tax in Connecticut ranges from 20% to 26% depending on the city. That includes a 10.75% state cannabis excise tax, 6.35% state sales tax, typical local sales tax, and any city cannabis business tax.
Does Connecticut exempt medical cannabis from tax?
Qualifying registered medical patients are exempt from the 10.75% state cannabis excise and the 6.35% state sales tax. That works out to roughly $17.10 less per $100 pre-tax than an adult-use purchase, before any local taxes.
How much is the state cannabis excise tax in Connecticut?
Connecticut imposes a 10.75% state cannabis excise tax on retail purchases. This is collected in addition to state sales tax and any local cannabis business taxes.
Can cities add their own cannabis tax in Connecticut?
Yes. Connecticut cities can add a local cannabis business tax up to approximately 3% on top of state taxes. Major cities often use close to the maximum allowed rate.
Which agency administers cannabis tax in Connecticut?
Cannabis tax in Connecticut is administered by the Connecticut Department of Revenue Services. Licensed retailers file returns and remit taxes on a regular schedule.

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For informational purposes only. Not legal, tax, or financial advice. Connecticut cannabis tax rates change — always verify with the Connecticut Department of Revenue Services and consult a licensed tax professional. Read full disclaimer