An Economic Impact and Tax Analysis of Oklahoma State Question 820
By Andrew Livingston
Feb 2, 2023
Vicente Sederberg LLP partnered with the Oklahoma Cannabis Industry Association to produce the special report, "An Economic Impact and Tax Analysis of Oklahoma State Question 820." The key findings and executive summary of the report are below, and the full report can be viewed and downloaded here.
Key Findings and Executive Summary
- According to an economic impact and tax analysis performed by Vicente Sederberg LLP and the Oklahoma Cannabis Industry Association, from 2024 – 2028, Oklahoma stands to gain $821 million in combined medical and recreational taxes if State Question 820 passes.
- Of the $821 million in tax revenue, $434 million will be new state revenue generated from the 15% excise tax on recreational sales to adults (21+), along with standard state and local sales taxes.
- The new tax revenue will result from approximately $1.841 billion in recreational sales to adults (21+) and $2.478 billion in medical sales to qualified patients over the same five-year period.
On March 7th, 2023, Oklahomans will vote on State Question 820, which would legalize, regulate, and tax marijuana sales for adults over 21 years of age. If State Question 820 passes, Oklahoma will create a billion- dollar industry with hundreds of millions of tax dollars generated that can be used to increase funding for schools, roads, local governments, public safety, drug treatment programs, and other healthcare services. The economic analysis uses a wide array of data from sources including the U.S. Census, National Survey on Drug Use and Health, Oklahoma Medical Marijuana Authority (“OMMA”), Oklahoma Tourism and Recreation Department, peer-reviewed research from the International Journal of Drug Policy on cannabis use trends, as well as pricing data from online sources and the Oklahoma Cannabis Industry Association (“OCIA”).