DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part of the
legislative instrument. The keyword, one-liner, abstract, and digest do not constitute part of the law
or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
HB 636 Original 2025 Regular Session Jordan
Abstract: Levies an excise tax on the wholesale sale of cannabis by a cannabis production facility
to a cannabis-infused product manufacturing facility or cannabis retailer.
Proposed law establishes an excise tax upon the wholesale sale of cannabis by a cannabis production
facility to a cannabis-infused product manufacturing facility or cannabis retailer. Provides that the
tax shall be at the rate of 15% on the average market price at wholesale of the cannabis sold.
Proposed law provides for definitions of terms used in proposed law.
Proposed law authorizes the secretary of the Dept. of Revenue (DOR) to collect, supervise, and
enforce the collection of taxes, penalties, and interest related to the excise tax.
Proposed law provides that the cannabis production facility is responsible for collecting the excise
tax at the point of wholesale sale and remitting the tax collections along with returns to DOR.
Proposed law authorizes DOR to promulgate administrative rules as necessary to implement
proposed law.
Proposed law requires that the legislature annually appropriate all avails of the tax to the minimum
foundation program to be used exclusively for one or both of the following purposes:
(1)To provide salary increases for certificated teachers who teach in grades kindergarten through
twelve at a public school.
(2)To provide salary increases for school support personnel who work full-time in public
elementary and secondary schools.
Effective January 1, 2026.
(Adds R.S. 47:1699.1-1699.7)