OLCC To Require Tax Compliance Certificate From Dispensaries In Order To Renew License

May 17, 2023

Gov. Tina Kotek directed the Oregon Department of Revenue and the Oregon Liquor and Cannabis Commission (OLCC) to require a certificate of tax compliance from dispensaries before granting or renewing a license.  This is in response to news reporting that 9% of Oregon’s dispensaries are behind in their required tax payments.

“Oregon’s cannabis industry is important to the state’s economy, and the sales tax it generates is vital to the state’s budget,” Craig Prins, interim director of the OLCC, said in a statement. “That’s why it’s critically important for us to get this group of licensees into compliance and paying their fair share.”

The implementation date for the requirement of a certificate of tax compliance is unknown at this time.  The OLCC will first have to enact temporary rules that implement this new tax compliance
requirement, while concurrently developing an internal process for incorporating a tax compliance certificate into the license application and renewal process.  Expect the temporary rules to be in place soon, as the OLCC and the Governor are under a lot of pressure to address this issue quickly.

The OLCC has issued a FAQ to address some of the reasoning behind the new requirement and questions here https://drive.google.com/file/d/134ogZZNNQW5R2y8fs83Jd2eDjHygn_-1/view

 

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