Arkansas Marijuana Tax Revenue 2026
- Arkansas Cannabis
- Cannabis Business in Arkansas
- Arkansas Marijuana Tax Revenue
What Is the Tax Rate for Marijuana in Arkansas?
Key Points
Arkansas allows medical marijuana only. Recreational marijuana is not legal.
Medical cannabis purchases are subject to state sales tax and a special medical marijuana privilege tax.
Local city and county sales taxes may also apply depending on the dispensary’s location.
Medical Cannabis Taxes in Arkansas
Medical marijuana sales in Arkansas are taxed at the point of purchase. Patients pay:
4% Medical Marijuana Privilege Tax
Applicable local city and county sales taxes
The combined base state rate is 10.5%, before local taxes are added.
Local sales taxes vary by municipality. Some cities and counties may add approximately 1% to 5% depending on location. Patients should confirm the total combined rate with their dispensary or review Arkansas Department of Finance and Administration tax resources for the exact local rate.
Arkansas does not apply THC-based excise taxes or product-type taxes. The taxation structure is consistent regardless of THC level or product format.
Sample Medical Marijuana Purchases in Arkansas (Little Rock, Pulaski County)
| Purchase Amount | State Sales Tax (6.5%) | Medical Privilege Tax (4%) | Local Tax (2.375%) | Total Taxes Paid | Total Cost |
|---|---|---|---|---|---|
| $100 | $6.50 | $4.00 | $2.38 | $12.88 | $112.88 |
| $200 | $13.00 | $8.00 | $4.75 | $25.75 | $225.75 |
