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Cottage Grove Marijuana Sales Tax
On November 8, 2016, Cottage Grove voters passed Ballot Measure 20-245, establishing a tax on recreational marijuana sales in the City of Cottage Grove by enacting Ordinance No. 3068, Section 5.0 of the Cottage Grove Municipal Code.
As of January 1, 2017, Cottage Grove recreational marijuana retailers will be required to collect a 3% retail sales tax from the customer at the point of sale. This will be in addition to the State’s 17% tax on recreational sales. The ordinance also requires retailers to keep and preserve records of all sales, books, and accounts for later inspection by the Revenue Division.
If you do not expect to make retail sales after December 31, 2016 (e.g., you will operate as a medical marijuana dispensary only), please disregard this notice.
The City of Cottage Grove has entered into an Intergovernmental Agreement with the State of Oregon, Department of Revenue (DOR) that would authorize the DOR to collect the 3% tax on the City’s behalf. The City fully expects that the DOR will begin collecting the 3% tax effective the first quarter of 2017. All tax collected by the seller must be segregated and then remitted as required under the law.
If you have questions or need more information about Cottage Grove’s recreational marijuana tax, please contact the Finance Department at 1-541-942-3346.
