Cannabis Tax Hub by Cannabis Promotions

Nebraska Cannabis Tax Rate

No Legal Cannabis Market

Administering Agency: Nebraska Department of Revenue  ·  Updated for 2026

No legal adult-use retail market Combined effective cannabis tax (excise + state sales + local)

Tax Breakdown

TaxRateNotes
State Cannabis Excise Tax0%No state excise
State Sales Tax5.5%Medical cannabis exempt
Typical Local Sales Tax1.5%Average — actual rate varies by city/county
Local Cannabis Business TaxUp to 0%City-level cannabis-specific tax where allowed

Official source: Nebraska Department of Revenue ↗ · 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 5.5% state sales tax.

Nebraska Cannabis Tax Notes

Nebraska voters approved medical cannabis in 2024; the program launched in 2025. Medical cannabis is exempt from state sales tax. No adult-use market.

City Cannabis Tax Rates in Nebraska

Cities in Nebraska can layer their own cannabis business tax on top of state taxes. Here are the reported rates for major cities:

CityCity Cannabis TaxTotal Effective Rate
No city-level cannabis business tax reported.
Calculate a Nebraska Purchase → Compare with Another State → Nebraska Regulations →

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Frequently Asked Questions

What is the cannabis tax rate in Nebraska?
Nebraska does not have a legal adult-use cannabis retail market, so no recreational cannabis excise tax applies. Nebraska voters approved medical cannabis in 2024; the program launched in 2025. Medical cannabis is exempt from state sales tax. No adult-use market.
Does Nebraska exempt medical cannabis from tax?
Qualifying registered medical patients are exempt from the 5.5% state sales tax.
How much is the state cannabis excise tax in Nebraska?
Nebraska does not currently impose a state-level cannabis excise tax. Cannabis sales are subject to the 5.5% state sales tax where applicable.
Which agency administers cannabis tax in Nebraska?
Cannabis tax in Nebraska is administered by the Nebraska Department of Revenue. 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. Nebraska cannabis tax rates change — always verify with the Nebraska Department of Revenue and consult a licensed tax professional. Read full disclaimer