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Oregon Enacts Rule to Chase Delinquent Cannabis Taxes

The state said licensees are using unremitted tax payments as "de facto loans."

Oregon is taking immediate action to go after delinquent cannabis retail tax bills.

From now until the end of 2023, the state will require proof of tax compliance for retailers as part of the renewal, change of ownership, and other processes.

The action comes as Oregon’s cannabis retail tax delinquency rate has risen to 9%.

The state’s Liquor and Cannabis Commission said the unpaid taxes amount to about $18.7 million that could be going to other programs in the state.

Oregon said the previous lack of verification of tax compliance has permitted retailer licenses to use unremitted tax payments as a de facto loan.

The state said the practice has essentially allowed them to expand operations and undercut competitors’ prices “at the expense of taxpayers.”


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