Arizona Marijuana Tax Revenue Tops $25 Million in October, All-Time Revenue at Nearly $1 Billion

In October, Arizona’s marijuana industry generated $25,496,330 in tax revenue.

This brings the state’s year-to-date total to approximately $235 million, with the all-time total nearing $1 billion at $993,703,867 since the state legalized marijuana. October marked the 35th consecutive month of marijuana tax revenue surpassing $20 million.

According to the Arizona Department of Revenue, the majority of October’s tax revenue came from the state’s 16% recreational marijuana excise tax ($16,014,939) and the 5.6% adult-use tax ($7,823,952). The medical marijuana program also contributed $1,656,348.

Arizona legalized marijuana for adults 21 and older in the November 2020 election, allowing the purchase of up to one ounce of marijuana and up to five grams of concentrates from licensed dispensaries.

The distribution of marijuana tax revenue remains as follows:

  • 33% to Community College Districts
  • 31.4% to Local Law Enforcement and Fire Departments
  • 25.4% to the Arizona Highway User Revenue Fund
  • 10% to the Justice Reinvestment Fund (supporting public safety, health, and drug treatment programs)
  • 0.2% to the Attorney General for enforcement costs

Earlier in the month, the Arizona Court of Appeals ruled that having marijuana in a driver’s system alone is insufficient grounds for the state to suspend their license.

Late last month the Arizona Dispensaries Association (ADA) announced that starting November 1, 2024, marijuana deliveries are available to adult-use consumers across the state. Previously, legal marijuana delivery services were only available to the state’s medical marijuana patients.

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