Ventura County Municipal Code Art. 2 Tax on Cannabis Operations

The tax imposed by this Article are a general tax as defined by paragraph (a) of section 1 of Article XIII C of the California Constitution. The taxes imposed by this Article are enacted solely for general governmental purposes and not for specific purposes. All of the proceeds from the taxes imposed by this Section shall be placed in the County's general fund and used for general governmental purposes.

(Ord. No. 4592 (Voter Initiative Measure "O"), § 3, 11-3-2020)

(a) Every person who engages in cannabis operations within the unincorporated area of the County shall pay to the Treasurer-Tax Collector a tax on the gross receipts of each of their operation's activities involving cannabis or cannabis products, computed as follows:

(1) Commercial cannabis cultivation: Four percent (4%) of gross receipts;

(2) Commercial cannabis nursery cultivation: One percent (1%) of gross receipts; and

(b) The taxes imposed by this Article upon persons engaged in cannabis operations are in lieu of the business tax imposed by Chapter 1 of this Division.

(Ord. No. 4592 (Voter Initiative Measure "O"), § 3, 11-3-2020)

Gross receipts, as defined by Section 2003-9, subject to the cannabis operations tax shall be that portion of the gross receipts relating to business conducted within the unincorporated area of the County.

(Ord. No. 4592 (Voter Initiative Measure "O"), § 3, 11-3-2020)

The tax imposed by this Article shall be collected by the Ventura County Treasurer-Tax Collector in the same manner as other taxes fixed and collected by Ventura County. For purposes of this Chapter, taxes shall begin to accrue on the date on which a person becomes engaged in legally-authorized commercial cannabis activity in accordance with the applicable provisions of Article 1 of this Chapter and all other applicable State and federal laws and regulations.

(Ord. No. 4592 (Voter Initiative Measure "O"), § 3, 11-3-2020)

Any person who fails to pay the tax required by this Chapter within thirty (30) days after the due date shall pay, in addition to the tax, a penalty for nonpayment in a sum equal to twenty-five percent (25%) of the total amount due. Receipt of the tax payment by the Ventura County Treasurer-Tax Collector's Office shall govern the determination of whether the tax is delinquent. Postmarks will not be accepted as adequate proof of a timely payment.

(Ord. No. 4592 (Voter Initiative Measure "O"), § 3, 11-3-2020)

The administration of the provisions of this Chapter shall include, but shall not be limited to, the authority of the County to examine the books and records, including tax returns, of any person subject to the provisions of this Chapter. Any such examination shall occur at a reasonable time and upon reasonable advance notice.

(Ord. No. 4592 (Voter Initiative Measure "O"), § 3, 11-3-2020)

The payment of the tax imposed pursuant to this Chapter, and its acceptance by the County, shall not entitle any person to carry on commercial cannabis activity unless the person has complied with all applicable requirements of this Code and all other applicable laws. No tax paid under the provisions of this Chapter shall be construed as authorizing the conduct or continuance of any illegal or unlawful cultivation in violation of any County ordinance.

(Ord. No. 4592 (Voter Initiative Measure "O"), § 3, 11-3-2020)

The Board of Supervisors may amend this Article in a manner which does not result in an increase in the amount of the tax or broaden the scope of the tax imposed herein without further voter approval. Voter approval is required for any amendment of this Article that would increase the rate of tax imposed pursuant to this Section. The board is authorized to implement such procedures as may be appropriate to accomplish the purposes of this Section provided such procedures are reasonably consistent with the imposition of similar taxes and would not frustrate the purpose of the Ventura County Pilot Cannabis Cultivation Program.

(Ord. No. 4592 (Voter Initiative Measure "O"), § 3, 11-3-2020)