ANNAPOLIS, MD—The Maryland Office of the Comptroller announced on Monday that the state collected more than $26.8 million in cannabis sales tax revenue during the third quarter of 2025. The report, covering the months of July through September, reflects the first full quarter of collections since the state’s cannabis tax rate increased from 9% to 12%.
The Central Region, which includes Baltimore City and Anne Arundel, Baltimore, Carroll, Harford, and Howard counties, continues to lead the state in sales, contributing over $10.7 million to the total revenue.
Regional Revenue Breakdown
The quarterly revenue was collected across five primary regions:
- Central Region: $10,796,928
- Capital Region: $6,513,870
- Western Region: $4,349,937
- Eastern Region: $3,618,113
- Southern Region: $1,597,526
Total Revenue Collected: $26,876,374
Allocation of Funds
Under the Budget Reconciliation and Financing Act of 2025, the 3% tax increase that took effect on July 1 is specifically designated for the state’s General Fund. For this quarter, that increase alone generated approximately $6.7 million. After all statutory distributions were made, the General Fund received a total of $11.7 million from cannabis taxes this period.
The remaining revenue is distributed to several state funds and local jurisdictions as mandated by the Cannabis Reform Act of 2023:
- Maryland Cannabis Administration: $10,150,520 for operational and administrative costs.
- Community Reinvestment and Repair Fund (CRRF): $3,502,366 (35% of specific quarterly revenues). These funds support community-based initiatives in areas disproportionately impacted by the enforcement of cannabis prohibition.
- Maryland Counties: $500,338 (5%). This is distributed to counties based on their local sales, with half of that amount further distributed to municipalities that host dispensaries.
- Cannabis Public Health Fund: $500,338 (5%) to address health effects associated with legalization.
- Cannabis Business Assistance Fund: $500,338 (5%) to support small, minority-owned, and women-owned businesses in the industry through 2028.
Transparency and Resources
The Office of the Comptroller releases these figures quarterly to maintain transparency regarding the economic impact of the adult-use cannabis market. Detailed reports are available on the Comptroller’s website…