Massachusetts Cannabis Taxes Explained: Excise, Sales and Local Tax

If you've ever wondered why a cannabis total at checkout lands higher than the menu price, it's taxes. Adult-use cannabis in Massachusetts carries its own state excise on top of the regular sales tax, plus a local tax in many communities. Here's what each one is, where it comes from in the law, and how it shows up on a delivery order.

Key takeaways

• State marijuana excise: 10.75% of the sales price (M.G.L. c. 64N, § 2).
• State sales tax: 6.25%, charged in addition to the excise (M.G.L. c. 64H, § 2).
• Local option tax: up to 3%, only where the city or town has adopted it (M.G.L. c. 64N, § 3).
• Combined, that's up to 20% on cannabis products. Separately listed accessories generally carry sales tax only.
• Delivery is taxed the same as a store purchase. The 2026 law didn't change the rates.

The three taxes on adult-use cannabis

1. State marijuana excise: 10.75%

Massachusetts puts a special excise on retail cannabis sales. Under M.G.L. chapter 64N, section 2, the excise applies to the sale of marijuana or marijuana products by a marijuana retailer to anyone other than another marijuana establishment, at 10.75% of the total sales price.

This is the cannabis-specific tax. It applies to flower, pre-rolls, vapes, concentrates, edibles, tinctures and topicals, which is everything in our shop except accessories and branded merchandise when those are listed separately.

2. State sales tax: 6.25%

The statute says the excise is levied in addition to the state sales tax under chapter 64H, section 2. That's the same 6.25% sales tax that applies to most retail purchases in Massachusetts.

3. Local option tax: up to 3%

Chapter 64N, section 3 lets a city or town adopt a local tax on retail cannabis sales at not more than 3% of the total sales price. Adopting it is up to each municipality, so the local rate can be 0% or anything up to 3%.

Which town's rate applies to a delivered order? The statute imposes the local tax on sales by a marijuana retailer "operating within the city or town" that adopted it (M.G.L. c. 64N, § 3), and the CCC's delivery FAQ says that for a Delivery Operator the rate is set by the host community. In other words, the local rate generally follows where the selling licensee is based, not the town you live in. The local rate on our orders is 3%.

How the taxes add up

Where all three apply at the full rates, the tax on cannabis products comes to 20% of the sales price:

A worked example

Say your cart has $100.00 of cannabis products (a hypothetical number, not a real menu price) and your order is subject to a 3% local rate. Applying each rate to the $100 sales price:

• Excise at 10.75%: $10.75
• Sales tax at 6.25%: $6.25
• Local option at 3%: $3.00
• Taxes total: $20.00, for $120.00 before any delivery fee

Under the statutes, each rate is a percentage of the price of the cannabis products: the excise and the local tax are each set as a percentage of the "total sales price" (M.G.L. c. 64N, §§ 2 and 3), and the sales tax is a percentage of the sales price (M.G.L. c. 64H, § 2). If the local rate is lower or zero, the total drops accordingly. Checkout calculates the exact amount for your order.

What's taxed at the cannabis rate, and what isn't

The CCC's delivery FAQ explains a split that matters when your order mixes products:

• Cannabis products carry the state excise, state sales tax and any applicable local option tax.
• Accessories and branded goods, such as papers, grinders, batteries or merchandise, are generally subject only to the state sales tax, as long as they're listed separately on your receipt. Some branded clothing may be exempt from sales tax.
• If a receipt doesn't separate them, all the taxes apply to the whole total.

That's why a receipt should list cannabis and non-cannabis items separately. Browse accessories to see which items fall in that group.

What about the delivery fee? For the state sales tax, Massachusetts law leaves out of the taxable price "transportation charges separately stated, if the transportation occurs after the sale" (M.G.L. c. 64H, § 1). The marijuana excise statute doesn't spell out how a delivery fee is treated, so we don't make a blanket claim here. Your checkout summary lists the fee and every tax line separately before you confirm.

Is delivery taxed differently from a store?

No. A delivered order is still a retail sale, so it carries the same taxes. According to the CCC's delivery FAQ, when a Marijuana Courier delivers from a retailer, the retailer, not the courier, collects and pays the excise, sales tax and local option tax. A Delivery Operator is a retailer in its own right and collects them on its own sales.

What delivery can add is a delivery fee and, in some cases, a minimum order. Ours are $4 and $50. For an honest look at total cost and convenience against going to a store, read cannabis delivery vs. dispensary.

Did the 2026 law change cannabis taxes?

Not the rates. Chapter 65 of the Acts of 2026, the cannabis overhaul signed April 19, 2026, left the excise and sales tax rates unchanged. It did order a study of the current marijuana excise tax rates, with findings due January 1, 2028. So the rates could change after that, but they haven't yet.

The law did change what you can buy: the daily purchase limit doubled to two ounces. See the purchase and possession limits guide. The CCC has also pointed to local option tax revenue as one of the local benefits of delivery businesses.

Common questions about the math

Why is my total higher than the menu price? Menu prices can be shown before tax, with taxes added at checkout. Your checkout summary and receipt show exactly what was charged.

Do discounts reduce the tax? Generally, yes. The excise and local option tax are based on the "total sales price" the retailer receives (M.G.L. c. 64N, § 2), and the sales tax definition excludes "cash discounts allowed and taken" (M.G.L. c. 64H, § 1). A lower price actually charged means a lower tax. The exact tax on your order is shown at checkout.

Does the tax change by product type? No. Flower, vapes, concentrates, edibles, tinctures and topicals are all marijuana products and carry the same rates. The split is between cannabis products and non-cannabis items like accessories.

Medical patients

This guide covers adult-use purchases for consumers 21+. Registered medical patients buy under a separate program, M.G.L. chapter 94I, with its own rules. If you're a patient, ask your Medical Marijuana Treatment Center how taxes apply to your purchases. We serve adult-use customers only.

How to read your receipt

State rules require delivery licensees to include the business name and license number on menus and receipts. A clear receipt breaks the order into these lines:

1. Cannabis subtotal: the products counted toward your state limit
2. Non-cannabis subtotal: accessories and merchandise, if any
3. Marijuana excise (10.75%)
4. Sales tax (6.25%)
5. Local option tax, if applicable
6. Delivery fee, if applicable
7. Total, with our license number: MD1321

Each product on the receipt also maps to its state package tag. Learn what that tag tells you in METRC package tags explained, or see the lab data behind every product on our lab results page.

Shop with the full price in view

Totals, taxes included, are shown at checkout before you confirm. Start with flower, pre-rolls or edibles. We deliver across Boston, Cambridge, Quincy and MetroWest. New to delivery? Start with how cannabis delivery works in Massachusetts.

Tax rates are from the Massachusetts General Laws as of September 2026. This is general information, not tax advice. The Department of Revenue, not the CCC, administers these taxes. For adults 21+ only.