Are there any laws governing the taxation of cannabis businesses?

Yes, there are laws governing the taxation of cannabis businesses in Hawaii. Under Hawaii law, all cannabis sales are subject to a 4.5% excise tax, in addition to the usual state and local taxes that apply to retail businesses. The excise tax must be paid to the Department of Taxation when the cannabis is sold at a dispensary. Additionally, any business that grows, processes, or sells cannabis must pay a $50 assessment fee to the Hawaii Department of Health. This fee is due annually on July 31 and must be paid in full before the business can operate. Finally, businesses selling cannabis in Hawaii must collect general excise taxes (GET) from their customers. GET is a state-mandated tax based on gross sales that must be paid by the seller to the state and is paid by the consumer at the time of purchase. The current GET rate in Hawaii is 4% and is payable on the 15th day of the month following the month of sale. In short, cannabis businesses in Hawaii are subject to state excise taxes, assessment fees, and general excise taxes, all of which must be paid in order for the business to remain in operation. By understanding and complying with all applicable laws, cannabis businesses in Hawaii can ensure that their operations remain in compliance with the state.

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