Missouri voters have recently approved local marijuana sales tax measures in both Lafayette County and Platte City. In Lafayette County, an impressive 72.7% of voters supported a 3% tax on all recreational marijuana sales. Similarly, Platte City saw a 74.5% approval for a matching 3% tax. These decisions allow municipalities to impose an additional tax on recreational marijuana, provided that voters give their consent.
This move comes as Missouri’s cannabis market continues to expand rapidly. The state has witnessed a booming industry, now valued at $1 billion, with annual tax revenues estimated to reach around $100 billion. The Missouri Cannabis Trade Association has reported that over $40 million of these tax revenues have been directed to the Missouri Veterans Commission. These funds are essential for supporting the infrastructure of the state’s veterans’ homes, including upgrades like Wi-Fi and data analysis.
In addition to supporting veterans, the cannabis tax revenue is allocated to other vital state departments, such as the Department of Health and the Missouri State Public Defender’s Office. Local governments, including cities like Kansas City, are also benefiting from these funds, using them to address issues like gun violence and general public safety. With recreational marijuana taxed at a higher rate than medicinal cannabis—21% in some areas like Grandview—businesses in the industry are still thriving, despite concerns over the overall tax burden.
The approval of these local taxes reflects a growing acceptance and integration of cannabis in Missouri’s economy, paving the way for further developments in legislation and community support surrounding the industry.
