Wilsonville Adopts Tax on Marijuana Sales
City staff indicated that taxing marijuana may cause a reduction in the potential number of sellers in the Wilsonville area.
(WILSONVILLE, Ore. ) — The Wilsonville City Council concluded a public hearing Monday evening on Ordinance No. 748, and approved an amended version of the ordinance by a vote of 4 to 1 on second reading.
The ordinance, which goes into effect on October 30, imposes a prospective tax on the sale of marijuana and marijuana-infused products in the City of Wilsonville.
The ordinance, which is similar to marijuana taxation ordinances passed recently by the cities of Ashland, and Hillsboro, imposes a lower tax rate on medical marijuana than that imposed on recreational marijuana products.
Prior to adoption, the council amended the ordinance to increase the tax rates to be imposed from 5 percent to 7.5 percent for medical marijuana, and from 10 percent to 12 percent for recreational marijuana, and added a clause that allows the council by resolution to establish a different tax rate for such products in the future.
City staff indicated that taxing marijuana may cause a reduction in the potential number of sellers in the Wilsonville area, with such sellers electing instead to operate in cities without such a tax.
With the effective date of the ordinance occurring before the vote and potential passage of a related state ballot measure that legalizes recreational marijuana products and preempts local taxation, the City Council action establishes the city's ability to impose a local tax on the sale of marijuana and marijuana-infused products.
