Frederick, Maryland Cannabis Tax Rate
12% totalAdministering agencies: Comptroller of Maryland · Updated for 2026
A legal cannabis purchase in Frederick is taxed at a combined effective rate of about 12% — all of it from Maryland's state-level taxes, since Frederick does not add a local cannabis tax. Every major Maryland city tracked here carries the same combined rate, because Maryland does not let cities add their own cannabis tax on top of the state rate. On a typical $100.00 dispensary purchase that works out to roughly $12.00 in tax, or about $112.00 out the door.
How Much Is Cannabis Tax in Frederick?
Use these worked examples to see what Frederick's 12% combined cannabis tax adds to a dispensary purchase. Figures apply the Maryland state excise to the pre-tax price.
| Pre-tax price | Total tax | Frederick city tax | You pay |
|---|---|---|---|
| $50.00 | $6.00 | $0.00 | $56.00 |
| $100.00 | $12.00 | $0.00 | $112.00 |
| $200.00 | $24.00 | $0.00 | $224.00 |
Estimates treat all taxes as applied to the retail price; actual receipts vary by product, potency tax (where applicable), and exact local sales rate. Model a specific basket with the Frederick tax calculator.
Frederick Cannabis Tax Breakdown
| Tax | Rate | Notes |
|---|---|---|
| Maryland Cannabis Excise | 12% | State-imposed retail excise |
| Maryland State Sales Tax | 0% | Applies to medical and adult-use sales |
| Typical Local Sales Tax | 0% | County / district average |
| Frederick Cannabis Business Tax | 0% | No city cannabis tax levied |
| Combined Effective Rate | 12% | What you actually pay at retail |
Official source: Comptroller of Maryland ↗ · rates compiled 2026-08-11 · city rates set by local ordinance.
How Medical Cannabis Is Taxed in Frederick
Qualifying registered medical patients are exempt from the 12% state cannabis excise. In practice that trims roughly $12.00 off every $100.00 spent versus an adult-use purchase in Frederick.
Why Is Cannabis Taxed This Much in Frederick?
Cannabis in Frederick carries layers of tax that ordinary retail goods never see. Maryland adds its 12% cannabis excise on top of ordinary sales tax. Because Frederick does not add a local cannabis tax, shoppers here pay only the Maryland state-level taxes — which keeps Frederick on the lower-cost end of the Maryland market.
Maryland imposes a 12% sales and use tax on adult-use cannabis — raised from 9% on July 1, 2025 by the Budget Reconciliation and Financing Act, with scheduled steps to 13% in 2027 and 15% by 2030. No additional excise tax. Medical cannabis is exempt. No local cannabis tax is allowed.
Frederick vs Other Maryland Cities
Maryland keeps local cannabis taxes uniform, so the combined rate in Frederick matches the other major cities below — the main cost difference between them comes down to base dispensary pricing, not tax.
| City | City Cannabis Tax | Combined Effective Rate |
|---|---|---|
| Baltimore | 0% | 12% |
| Frederick (this page) | 0% | 12% |
| Rockville | 0% | 12% |
| Gaithersburg | 0% | 12% |
See the full Maryland cannabis tax guide →
Frequently Asked Questions
What is the cannabis tax rate in Frederick, Maryland?
How much tax will I pay on a $100 cannabis purchase in Frederick?
How much is the cannabis business tax in Frederick?
Are medical cannabis patients exempt from Frederick's tax?
Where can I buy cannabis in Frederick?
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