San Bruno Municipal Code Ch. 3.18 Cannabis Business Tax

A. Every person engaged in a cannabis business in the city shall pay a cannabis business tax of ten percent of gross receipts.

B. Beginning January 1, 2023, the tax rate for cannabis businesses shall be set at six percent of gross receipts of the cannabis business, unless further amended by the city council. The city council may, by further action, increase or lower the tax rate but in no event shall the tax rate be higher than ten percent of gross receipts.

(Ord. 1896 § 3, 2020; Ord. 1931 § 1, 2022; Ord. 1935 § 1, 2023)

A cannabis business is a business that is licensed by the state pursuant to the Medicinal and Adult-Use Cannabis Regulation and Safety Act (Business and Professions Code Section 26000 et seq.) and/or involves the retailing, wholesaling, manufacturing, distributing, cultivation or testing of cannabis or cannabis products or involves the operation of a cannabis nursery.

(Ord. 1896 § 3, 2020)

The purpose of this chapter is to impose a tax for revenue purposes. Proceeds of the tax shall be deposited in the city's general fund and available for any municipal purpose.

(Ord. 1896 § 3, 2020)

The tax imposed by this chapter shall be administered in the same manner as the generally applicable business license tax imposed by Section 3.08.020 of this code. For purposes of this chapter, "gross receipts" shall have the meaning set forth in Section 3.04.170 of this code. This tax is in addition to any other tax imposed by the city, including the generally applicable business license tax.

(Ord. 1896 § 3, 2020)

This chapter does not authorize any person to conduct any business or activity in the city.

(Ord. 1896 § 3, 2020)