Recreational Cannabis sales tax approved in Homewood

Homewood officials approve a 3 percent tax on the sale of recreational marijuana at the Sept. 24 village board meeting.
Governor J.B. Pritzker signed into law a bill to legalize recreational sales to adults over 21. The state law goes into effect on Jan. 1, 2020.
Municipal governments have until Sept. 30 to establish a sales tax ordinance. The action does not authorize recreational cannabis sales in the village. A local zoning amendment would be required to authorize the sales. 
The state does not allow for the new tax to be collected until Sept. 1, 2020 under current legislation but the Illinois Municipal League is requesting a change in that law to allow for recreational cannabis sales taxes to be effective on Jan. 1. 
The Illinois Department of Revenue, which would collect the tax, requires 90 days notice to process the new tax.
The new 3 percent tax would be in addition to the village’s 1 percent general merchandise sales tax for a total tax of 4 percent on recreational cannabis sales. 
Homewood does have a medical marijuana dispensary in Windy City Cannabis at 1137 175th St. It hasn’t been approved for recreational sales but owners have expressed an interest, according to village documents. 
The state began awarding the first permits to sell recreational cannabis in the spring. Towns around the state have passed similar tax laws to Homewood’s while others have chosen to prohibit the sale of cannabis within their boarders. 

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