Arizona Marijuana Tax Revenue 2026

What is the Tax Rate for Marijuana in Arizona?

In Arizona, both medical and adult-use marijuana are subject to a 5.6% Transaction Privilege Tax (TPT). However, adult-use marijuana is also subject to an additional 16% excise tax, bringing the total on recreational marijuana to 21.6%.

Arizona Cannabis Industry Taxes

The data shows the amount of sales tax generated by marijuana businesses in Arizona.

Year Excise Tax Transaction Privilege Tax Total Tax Collected
2025 $177,828,905 $4,327,401 $182,156,306
2024 $176,622,976 $19,358,170 $195,981,146
2023 $168,911,480 $193,201 $169,104,681
2022 $132,828,482 $38,435,701 $171,264,183
2021 $32,925,183 $37,681,121 $70,606,304

Last updated: May 4, 2026

Source: Arizona Department of Revenue