Marijuana Laws by State — Where is Marijuana Legal?

The curious part about cannabis legalization is how it has rolled out on a state-by-state basis, while remaining federally illegal. The Controlled Substances Act (CSA) made cannabis an untouchable — a Schedule III substance with high potential for abuse and no medical value. Of course, we know this is not true, but this categorization has been slow to change. If and when cannabis is rescheduled or descheduled, there will be a huge impact on the state markets, but this remains a distant possibility.

The biggest movement cannabis has seen in recent years at the federal level is the 2018 Farm Bill that drew a distinction between federally illegal “marijuana” and legal hemp. Since then, hemp products with less than 0.3% D9 THC by weight have flourished for sale, especially in states without a legal cannabis program.

Cannabis cannot travel across state lines in legal states due to federal prohibition and banking remains a challenge for cannabis companies. Despite this, cannabis programs continue to expand and flourish across the country.

There are two forms of legal cannabis in the United States: medical marijuana and recreational. Medical tends to come first, followed by recreational legalization. All states that have recreational cannabis also have a medical program, while some states only have a medical program.

If a state is not listed here, it is because cannabis is not legal in any capacity there. The age of access in all recreational cannabis states is 21.

Utah

• Legal since 2018 but the first medical pharmacy did not open until 2020.
• Reciprocity? Yes
• Estimated enrollment: 72,000

The program is run through the Utah Department of Health and Human Services. Patients must have a qualifying condition and can get a recommendation for the program through a face-to-face meeting with an MD, DO, APRN, PA, or podiatrist. Patients must pay an application fee and renew their medical card every six months. Qualifying conditions include:

• ALS
• Alzheimer’s
• Autism
• Cachexia
• Crohn’s disease
• Debilitating seizures
• Epilepsy
• HIC
• Hospice care
• Multiple Sclerosis
• Nausea
• Persistent/ acute pain
• Persistent muscle spasms
• PTSD
• “Rare conditions”
• Terminal illnesses
• Ulcerative colitis

Patients are allowed up to 113 grams of unprocessed cannabis flower and up to 20 grams of “all other medicinal dosage forms” such as tinctures, concentrates, or edibles. Patients can have up to a 30-day supply but dispensaries can only sell up to a 14-day supply during each visit. At the time of publication, there are eight companies running 15 dispensaries in Utah that can deliver to the 23 counties in the state. Neither smoking nor home grow is allowed. Utah’s medical marijuana program included protections for employees and parents enrolled.

North Dakota

• Legal since 2016
• Reciprocity? No
• Estimated enrollment: 8,000

The program is run by the North Dakota Department of Health and Human Services. Patients must have a qualifying condition and a certification from a qualified healthcare provider in order to apply for a medical card.

Qualifying conditions include:

• Terminal illness
• Cancer
• HIV
• Hepatitis C
• ALS
• PTSD
• Alzheimer’s
• Dementia
• Crohn’s disease
• Fibromyalgia
• Spinal Stenosis
• Chronic back pain
• Glaucoma
• Epilepsy
• Cachexia
• Severe and debilitating pain
• Intractable nausea
• Seizures
• Persistent muscle spams
• Anorexia and bulimia
• Anxiety
• Tourette’s
• Ehlers-Danlos
• Endometriosis
• Neuropathy
• Migraines
• Interstitial cystitis
• Arthritis
• Hospice care

Edibles and concentrates are not allowed in the North Dakota program and patients need special certification from a doctor to use flower. Topical measures, tinctures, and capsules are the preferred forms of administration. Patients may have up to two and a half ounces of flower each month. However, patients may qualify for an “enhanced allowable amount” of up to six ounces of flower a month

North Dakota has strict laws around cultivating and dispensing cannabis: only two “compassionate care centers” are licensed to cultivate the plant and just eight “compassionate care centers” serve the entire state. North Dakota’s medical program contains no language of protection for patients at work or as parents. Home grow is not allowed. A 2024 ballot measure that would have legalized recreational cannabis in North Dakota failed by a small margin.

South Dakota

• Legalized in 2021
• Reciprocity? No
• Estimated enrollment: 11,000

In order to qualify for the South Dakota medical marijuana program, a patient must be recommended by their physician (or PA or APRN.) Patients cannot start the process themselves until their physician creates a certification. South Dakota allows medical patients to have up to three ounces of cannabis.

Qualifying conditions include:

• ALS
• HIV
• Multiple Sclerosis
• Crohn’s disease
• Cancer
• Epilepsy and seizures
• PTSD
• A chronic or debilitating disease produces cachexia or wasting syndrome; severe, debilitating pain; severe nausea,

South Dakota allows for limited home grow for medical patients, up to four plants at a time for an additional fee on the medical card. Patients may possess up to eight grams of concentrates or vape carts, 15 grams of cannabis oils or tinctures, 2,000 mg of THC edibles, 12 fl oz of topicals, 16 ounces of flower, or 800 milligrams of transdermal products. At the time of publication, there were over 50 dispensaries located in cities across South Dakota.

The program is run by the South Dakota Department of Health and does not include protections for employees who are registered medical patients. Patients must pay to renew their medical cards annually. A 2024 ballot measure that would have legalized recreational cannabis in South Dakota failed by a small margin.

Oklahoma

• Legal since 2018
• Reciprocity? Yes
• Estimated enrollment: 370,000

Oklahoma made headlines for the fastest creation of a medical program in any state. There is no list of qualifying conditions to meet, leaving it up to “the accepted standards a reasonable and prudent physician would follow for recommending or approving any medication” and as such, OK has one of the largest medical programs in the country. Medical cards must be renewed every two years.

Patients may possess up to three ounces of cannabis in public and up to eight ounces at home. Other limits include one ounce of concentrates and 72 ounces of edibles per transaction. Oklahoma has a generous home grow program that allows patients to have up to 12 plants at once. In 2024, the state had over 2,000 dispensaries to serve patients.

The program is run by the Oklahoma Medical Marijuana Authority. The Oklahoma medical program includes language to protect parents, employees, and renters against discrimination due to their medical status

Arkansas

• Legalized in 2016
• Reciprocity? Yes
• Estimated enrollment: 95,000

Arkansas has a relatively small medical program. Patients must be diagnosed with a qualifying condition and obtain a written certification from a physician to qualify for the medical program. Qualifying conditions include:

• Cancer
• Glaucoma
• HIV
• Hepatitis C
• ALS
• Tourette’s syndrome
• Crohn’s disease
• Ulcerative colitis
• PTSD
• Arthritis
• Fibromyalgia
• Alzheimer’s disease
• Cachexia
• Peripheral neuropathy
• Intractable pain
• Severe nausea
• Seizures
• Severe muscle spasms

Patients may buy up to 2.5 ounces of cannabis within 14 days: limits on other product types are not specified. Dispensaries sell flower, concentrates, edibles, tinctures, and topicals. Medical cards must be renewed annually unless a physician specifies a shorter time period.

Arkansas does not allow home grow in their medical program. The state has limited distribution to 40 dispensaries (not all of which are open yet) and just eight cultivators. However, the program does include protections for parents and employees who are registered patients.

Alabama

• Legalized in 2021
• Reciprocity? No
• Estimated enrollment: 0

Despite legalization in 2021, Alabama’s medical marijuana program has yet to open up. The program is run by the Alabama Medical Cannabis Commission. The office has tried multiple times to issue licenses with no success and there is no timeline for when licenses will be granted. The law allows for just 12 cultivators, four processors, and just four dispensary companies that may have up to three locations in separate counties.

Alabama’s medical program is quite limited: it does not allow smoking, vaping, or using whole-plant cannabis (AKA flower.) It also does not allow for edibles. The only legal forms of cannabis are pills, lozenges, oils, suppositories, nebulizers, transdermal patches, and gelatin cubes. More than 50 mg per day is not allowed.

Patients must be diagnosed with a qualifying condition and physician certification, obtained in an in-person visit. Qualifying conditions include:

• Autism
• Cancer-related pain, nausea, or weight loss
• Crohn’s
• Epilepsy
• HIV/AIDS-related nausea
• Persistent nausea
• PTSD
• Sickle cell anemia
• Panic disorder
• Depression
• Tourette’s
• Parkinson’s disease
• Multiple sclerosis
• Motor neuron disease
• Spinal cord injury
• Terminal illness;
• Intractable or chronic pain

Unlike other states, Alabama’s program places a burden on the physician who wants to certify patients. Physicians must be authorized to prescribe cannabis by the State Board of Medical Examiners, pay a fee of $300, pay to complete a four-hour medical cannabis course, pass an exam, and recertify every two years. They must also meet any other qualifications the State Board establishes and specify cannabis dosage and product type.

Another complication is that the State Board cannot issue Medical Cannabis Certification permits until the AMCC has issued at least one license in each category. Since there is no timeline on licenses, there is no timeline on the program. Alabama’s medical program created limited protections for registered patients, but as of 2024, no one can enroll.

Louisiana

• Legalized in 1978
• Reciprocity? No
• Estimated enrollment: 26,000

Louisiana has a small and strictly regulated medical marijuana program. The program opened in 1978, but it took off in 2021. Patients must obtain a doctor’s recommendation for a qualifying condition. Originally the program spelled out these qualifying conditions with common accepted ailments including HIV, Crohn’s, cachexia, PTSD, and the like, but today patients qualify for any condition their doctor considers personally debilitating.

Unlike other states, Louisiana sells medical cannabis through regulated marijuana pharmacies. There is just one pharmacy per region, a total of nine. The law only allows for two growers and processors, a major bottleneck for the program.

Patients can get up to 2.5 ounces of cannabis every 14 days. However, the types of cannabis products are quite limited. Flower must be specifically recommended by a physician and transdermal, vape, and suppository products are not allowed. Instead, patients are steered toward tinctures, topicals, edibles, and soft gels.

Regulation of this program is split between many agencies: the Louisiana Board of Pharmacy, the Department of Agriculture and Forestry, and the Louisiana Office of Alcohol Tobacco Control. Cannabis possession is also decriminalized in New Orleans, Shreveport, and East Baton Rouge.

Mississippi

• Legalized in 2022
• Reciprocity? Yes
• Estimated enrollment: 22,000

Patients seeking a medical marijuana card in Mississippi must be diagnosed with a qualifying condition and have a written certification from a physician, nurse practitioner, PA, or optometrist. Cards must be renewed annually. The program is run by the Mississippi Department of Health.

Patients have a monthly limit on products called “medical cannabis equivalency units.” Each MCEU is 2.5 grams of up, 100 mg of infused products, and one gram of concentrate. Patients can purchase six MCEUs a week and up to 24 MCEUs a month. Mississippi also places potency caps on medical products. At the time of publication, there were over 190 dispensaries open in Mississippi.

Qualifying conditions include:

• Cancer
• Parkinson’s
• Huntington’s
• Muscular dystrophy
• Glaucoma
• Spastic quadriplegia
• HIV
• Hepatitis
• ALS
• Crohn’s
• Ulcerative colitis
• Sickle cell anemia
• Alzheimer’s
• Dementia
• PTSD
• Autism
• Diabetic/peripheral neuropathy
• Spinal cord disease
• Severe injury;
• Cachexia or wasting
• Severe nausea
• Seizures
• Severe and persistent muscle spasms
• chronic pain

Like Louisiana, Mississippi places requirements on medical professionals who wish to certify patients: they must diagnose the patients with a qualifying condition, complete eight hours of continuing education on medical cannabis, and an additional five hours annually. Home grow is not allowed in this program nor does it provide protections for medical patients at work or at home.

Florida

• Legalized in 2016
• Reciprocity? No
• Estimated enrollment: 832,000

Florida has one of the largest medical marijuana programs in the country. To become a patient in Florida’s medical marijuana program, a patient must be certified by a doctor in a qualifying condition. Registration is under $100, but must be renewed annually.

Qualifying conditions include:

• Cancer
• Epilepsy
• Glaucoma
• HIV
• Crohn’s disease
• Parkinson’s disease
• Multiple sclerosis
• “Medical conditions of the same kind or class as or comparable to those above”
• PTSD
• ALS
• A terminal condition diagnosed by a separate physician
• Chronic nonmalignant pain

Patients can buy products at medical marijuana treatment centers, which sell flower, edibles, tinctures, topicals, and aerosols. Patients may purchase up to 2.5 ounces of cannabis every 35 days and cannot possess more than four ounces at once. There are currently 25 approved companies that operate over 600 MMTCs throughout the state.

Florida’s program is run by the State Department of Health, Office of Medical Marijuana Use. It does not allow for home grow. A proposed amendment that would have legalized recreational cannabis in Florida fell just short of the super majority needed in November 2024.

West Virginia

• Legalized in 2017, sales began in 2021
• Reciprocity? No
• Estimated enrollment: 26,000

Patients must obtain a written certification from a licensed physician for qualifying conditions and register with the State Health Department, which runs the medical marijuana program in West Virginia. Unlike some other states, patients can meet with their doctors online.

Qualifying conditions include:

• Terminal illness
• Cancer
• HIV
• ALS
• Parkinson’s disease
• Multiple sclerosis
• Spinal cord damage
• Epilepsy
• Neuropathies
• Huntington’s disease
• Crohn’s disease
• PTSD
• Intractable seizures
• Sickle cell anemia,
• Severe chronic or intractable pain.

Dispensaries are not allowed to sell edibles. Cannabis flower was only added to the program in 2022, but smoking is still prohibited. The main forms of cannabis products are pills, topicals, tinctures, and vape carts. Home grow is not allowed. Over 70 dispensaries have opened from the 100 licenses cap issued in early 2021. The state will only license 10 growers and 10 processors.

Like a few other states, West Virginia requires physicians who want to certify medical marijuana patients to meet several requirements: registering with the state Health Bureau and completing a four-hour continuing education course. Additionally, patients can only be certified by the physician who is treating their qualifying condition.  The law did provide protections for employees who are registered patients

Pennsylvania

• Legalized in 2016
• Reciprocity? No
• Estimated enrollment: 713,000

The Pennsylvania Department of Health runs the medical program. To qualify for Pennsylvania’s medical program, patients must obtain a certification from a physician during an in-person visit and pay for their ID card.

Pennsylvania has a long list of qualifying conditions, which include:

• Terminal illness
• Cancer
• HIV/AIDS
• ALS
• Parkinson’s disease
• Multiple sclerosis
• Epilepsy
• Inflammatory bowel disease
• Neuropathies
• Huntington’s disease
• Crohn’s disease
• PTSD
• Intractable seizures
• Glaucoma
• Autism
• sickle cell anemia
• Damage to the nervous tissue of the CNS (brain-spinal cord)
• Severe, chronic, or intractable pain
• Dyskinetic and spastic movement disorder
• Addiction substitute therapy

Dispensaries cannot sell edibles or smoking equipment: only vaporization is allowed. Patients are pushed towards topicals, tinctures, and pills although flower is allowed. Patients can buy up to a 90 supply at once, equal to 192 medical marijuana units which are: 3.5 grams of flower, one gram of concentrate, and 100 milligrams of ingestible THC.

Medical dispensaries in Pennsylvania are required to have a pharmacist on staff to help patients. Physicals must be registered with the DOH and complete a four-hour medical marijuana course to certify patients. The state has a license cap of 150 dispensaries: not all of these have been issued.

New Hampshire

• Legalized in 2016
• Reciprocity? Yes
• Estimated enrollment: 14,000

The medical program in New Hampshire is small and limited. Patients must get a medical marijuana certification from the physician, PA, or APRN treating their qualifying condition. Qualifying conditions are:

• Autism spectrum disorder
• PTSD,
• Moderate to severe chronic pain,
• Severe pain that has not responded to other treatment options
• Alzheimer’s disease
• ALS
• Cancer
• Chronic pancreatitis
• Crohn’s disease
• Ehlers-Danlos syndrome
• Epilepsy
• Glaucoma
• Hepatitis C
• HIV
• Lupus
• Multiple sclerosis
• Muscular dystrophy
• Parkinson’s disease
• Spinal cord injury or disease,
• traumatic brain injury,
• Ulcerative colitis,
• Injuries or conditions that have resulted in one or more qualifying symptoms

Patients can access products at “alternative treatment centers” of which there are only four certified non-profits that are allowed to operate up to seven locations. These ATCs must be vertically integrated, growing their own products in indoor locations. Patients are limited to two ounces of cannabis purchased every 10 days. The program does not differentiate between edibles, concentrates, vapes, flower, tinctures, and topicals. Home grow is not allowed.

Hawai’i

• Legalized in: 2000
• Reciprocity? Yes
• Estimated enrollment: 32,000

Hawai’i made headlines at the start of the century when it became the first state to create a medical marijuana program through the legislature rather than a voter initiative. To become a patient here, people must be certified in a “debilitating medical condition” through a certifying medical provider with at least one in-person visit. Out-of-state patients may also register for the program if their condition is recognized by the state. Conditions include:

• ALS
• Cancer
• Glaucoma
• Lupus
• Epilepsy
• Multiple Sclerosis
• Rheumatoid Arthritis
• HIV
• Acquired immune deficiency syndrome
• PTSD
• A chronic or debilitating disease or medical condition or its treatment that produces one or more of the following:
  • Cachexia or wasting syndrome
  • Severe pain
  • Severe nausea
  • Seizures, including those characteristic of epilepsy
  • Severe and persistent muscle spasms, including those characteristic of multiple sclerosis or Crohn’s disease

Patients can access medicine at one of 24 certified dispensaries across the four big islands: Kauai, Maui, Oahu, and the Big Island. Home grow is allowed, with up to 10 plants, but many restrictions. The state does not have restrictions on the types of cannabis products that patients can access.

Legalization did not create protections for workers, who can still be fired for having cannabis in their system. A 2019 law decriminalized personal possession of three grams of weed. A bill that would have legalized recreational cannabis died in the legislature in 2024.

Kentucky

• Legalized in 2023
• Reciprocity? No
• Estimated enrollment: 0

One of the newest programs in the nation, Kentucky created a medical marijuana program in 2023 that is set to start selling products in January 2025.

States tax recreational cannabis differently. You can see our full breakdown of cannabis state tax rates in this blog, but keep in mind that these tax rates are in addition to the typical sales tax rate.

Washington

Medical legalization in: 1998

Recreational legalization in: 2012

Washington led the country in recreational legalization back in 2012, although cannabis sales didn’t begin until 2014. Cannabis is taxed at a staggering 37%, which has brought in an estimated $5 billion in revenue since sales began a decade ago.

Cannabis consumers in Washington can possess up to an ounce of cannabis, 16 ounces of “solid form” edibles, 72 ounces of “liquid form” edibles or topicals, and seven grams of concentrate. Infused products are capped at 10 mg per serving and 10 servings per package, essentially a 1000 mg edible limit. Medical patients have a higher limit: three ounces of flower, 48 ounces of “solid form” edibles, 216 ounces of “liquid form” edibles or topicals, and 21 grams of concentrate. Medical sales are exempt from sales tax.

It is not legal to consume in public. Registered medical patients can cultivate four plants at home (or more, with state registration) but recreational home grow is not allowed, and is actually still a felony.

Oregon

Medical legalized in: 1998

Recreational legalized in: 2014

Legal cannabis sales for anyone over 21 began in Oregon in June 2015. Cannabis products are taxed at 17%, with the option for municipalities to add another 3%, a possible total of 20% tax. State estimates put tax revenue from cannabis at around $170 million dollars annually.

Product prices are low here and the state struggles with an oversupply problem. Consumers can buy up to an ounce of flower or concentrates at a time, as well as 16 ounces of “solid” edibles, and 72 ounces of “liquid” edibles. But at home, the weed stash can get bigger — up to 8 ounces of flower and four plants growing at a time. Medical patients can purchase up to 24 ounces of flower at once without taxes. Public consumption is not allowed.

California

Medical legalized in: 1996

Recreational legalized in: 2016

California holds the honor of being the largest cannabis market in the US, and is often regarded as a barometer for the success of recreational cannabis. The cannabis tax rate in California is 15% and applies to medical patients too. Sales began in 2018 and since then, the state has brought in over $6 billion dollars.

Adults can buy up to eight grams of concentrates and 28.5 grams (an ounce) of generalized “non-concentrated cannabis.” Plant lovers can grow up to six plants at home at once, and medical patients can grow even more. Medical patients can also buy a lot more weed — up to eight ounces per day, but the limit on edibles remains the same: 10 mg per serving and 100 mg limit per package. Public consumption is not allowed.

Nevada

Medical legalized in: 2000

Recreational legalized in: 2016

For the home of Sin City, Nevada has surprisingly low cannabis possession limits: just an ounce of flower and an eighth of concentrate. Smoking in public is illegal, but consumption lounges are opening in Nevada, offering a precedent for how commercial public consumption may roll out across other states. Home grow laws here are also weird — adults are only allowed to grow cannabis plants if they live more than 25 miles from a dispensary. Then, and only then, can they grow up to 12 plants per household.

Nevada places a tax on cannabis on both sides of the equation: a 15% tax businesses pay on the fluctuating wholesale fair market value of products, and a steady 10% tax on retail sales paid for by consumers. The state has generated over $1 billion in tax revenue since sales started in 2017.

Medical patients do not have to pay tax on cannabis products and they enjoy the ability to purchase a lot more weed: 2.5 ounces of cannabis or 10,000 mg of infused products every two weeks. Medical patients are also allowed to cultivate their own strains (within 25 miles of a dispensary) if the local dispensaries don’t carry them.

Montana

Medical legalized in: 2004

Recreational legalized in: 2020

Montana has had a rocky relationship with cannabis, with voters legalizing and legislatures attempting to repeal both the medical and recreational programs. Cannabis sales are still not legal everywhere in the state: only in the counties where a majority of voters supported the legalization initiative.

Adults can buy and possess up to an ounce of cannabis, eight grams of concentrate, or 800 mg of edibles at a time. Home grow is also allowed: up to four plants per resident for recreational consumers and eight plants for medical patients. Montana has potency caps on its recreational products: 35% THC in flower, 10 mg of THC per serving of edible, and 100 mg package limit. Capsules must not contain more than 100 mg of THC and concentrates are limited to 800 mg per package.

Recreational weed is taxed at 20% in Montana, with the option for counties to add 3% on top, for a total potential tax rate of 23%. Medical patients are taxed at 4% with the additional 3% option. Since sales started in 2022, Montana consumers have generated over $93 million dollars in tax revenue.

Colorado

Medical legalized in: 2000

Recreational legalized in: 2012

Tied for first in creating a recreational program, Colorado stays at the top of the list with the second-largest market in the country. Adults here can buy one ounce and possess up to two ounces of cannabis, eight grams of concentrate, 800 mg of edibles, and 8,000 mg of vapes. People can also grow six plants at home.

Colorado taxes cannabis on the business and consumer side, with a 15% tax on wholesale market rates and a 10% tax on retail sales. Medical marijuana patients do not pay taxes on their products. Since legalizing, Colorado has generated over $2.3 billion in tax revenue since sales started in 2014. Some municipalities have additional sales taxes and have collected millions more.

Arizona

Medical legalized in: 2010

Recreational legalized in: 2020

Legal weed sales in Arizona started in January 2021 after a vote in November 2020, making Arizona the fastest state to move from voter approval to sales. This was accomplished by allowing existing medical dispensaries to open their doors to recreational consumers. Since then, the state has generated over $700 million in tax revenue thanks to the 16% excise tax on all cannabis products.

Anyone over 21 here can buy and possess up to an ounce of cannabis, five grams of concentrate, and six plants at home, while medical patients can have up to 2.5 ounces of cannabis and grow up to 12 plants. There are potency limits on edibles: 10 mg per serving and 100 mg per package.

New Mexico

Medical legalized in: 2007

Recreational legalized in: 2021

Legal cannabis sales in New Mexico began almost exactly a year after legalization. Since recreational sales began, NM has brought in over $100 million in tax revenue thanks to the ease of getting a license to operate in the cannabis industry and the abundance of dispensaries throughout the state. The Land of Enchantment currently taxes cannabis products at 12%, but the state opted to increase the tax rate by 1% every year starting in 2025, maxing out at 18% in 2030.

Adults here can possess up to two ounces of flower, 16 grams of concentrate, and 800 mg of edibles. Medical patients can get even more, up to 15 ounces of cannabis. Home grow is limited to 12 cannabis plants per household, regardless of medical status. Medical sales are tax-free until they meet the 15-ounce limit. NM does not allow public consumption but does have consumption lounges.

Missouri

Medical legalized in: 2018

Recreational legalized in: 2022

Missouri voters legalized recreational cannabis in November 2022 and less than six months later, adult-use sales started. In its first year, Missouri generated over $100 million in tax revenue from a 6% tax rate and this is expected to soar in the coming years, particularly as the surrounding states do not have legal cannabis, and Illinois, the only neighboring state with legal weed, has significantly higher taxes.

Adults in Missouri may buy and possess up to three ounces of cannabis. Medical patients may buy up to six ounces of cannabis every 30 days and are subject to a 4% tax rate. Missouri allows home grow of up to 12 plants but requires people to register with the state to do so.

Illinois

Medical legalized in: 2013

Recreational legalized in: 2019

Cannabis has made a splash in Illinois: the state is one of the largest markets in the nation and in 2023, cannabis taxes surpassed alcohol taxes.

This is due in part to the unique way Illinois taxes cannabis products: by potency. The rates range from 10% tax on products under 35% THC to 25% for products over 35% THC, creating a significant increase in the cost of weed here. It’s also quite lucrative for the state: since sales started in 2020, Illinois has generated $1.8 billion in tax revenue. Medical patients are subject to a 1% tax rate.

Adults in this state can possess 30 grams of cannabis, just over an ounce, as well as five grams of concentrate and 500 mg of THC-infused products. Recreational home grow is not allowed, but medical patients are allowed to cultivate up to five plants at home. Medical patients may also possess more than 30 grams of cannabis that they grew, or buy 2.5 ounces every two weeks.

Ohio

Medical legalized in: 2016

Recreational legalized in: 2023

One of the newest states to legalize, Ohio was 24th in the nation to create a recreational cannabis program. Sales only started in August 2024, so the state has just begun to generate cannabis tax revenue, with a 10% excise tax on top of the standard sales tax.

Adults in Ohio can buy and possess up to 2.5 ounces of cannabis, 15 grams of concentrate and grow 12 plants per household. Possession limits for medical patients are a little more complicated. Patients can access up to a 90-day supply at a time but can only fill half of this allotted amount every 45 days. Medical marijuana cardholders can buy up to 4.5 ounces of cannabis flower, 26.5 grams of oil, 4.95 grams of tincture oil, or 13.27 grams of topical products.

Only vaping is allowed — patients are not allowed to smoke or eat their products.

Michigan

Medical legalized in: 2008

Recreational legalized in: 2018

Tucked away in a north midwestern corner of the state is one of the US’s largest recreational cannabis markets. Michigan legalized recreational cannabis use a decade after creating a medical program and in doing so, made one of the most progressive markets in the country. Michigan allows for on-site cannabis consumption and pop-up cannabis events. The state does not have as many dispensaries as you would expect, but delivery of cannabis is legal throughout the state.

Adults over 21 may possess up to 2.5 ounces of cannabis at a time and 15 grams of concentrate. Home grow laws allow for up to 12 plants per household, and the limit does not apply to weed you cultivate yourself. Medical caregivers can have 12 plants per patient, with a limit of five patients and 72 plants. However, the legalization law did not create protections for workers who consume cannabis.

Michigan consumers pay 10% tax on retail sales while medical patients pay 6%. These taxes generated over $1 billion dollars in revenue from 2018 – 2023.

New York

Medical legalized in: 2014

Recreational legalized in: 2021

Legalization in New York made headlines in 2021 when it first passed through the legislature, rather than a voter initiative. It continued to do so for years due to the low and rocky rollout of licenses. In 2024, there are finally dispensaries in every area of the state and supply is high. Adults here can possess up to three ounces of cannabis and 24 grams of concentrate — but can store up to five pounds of cannabis at home. Home grow is allowed, with a limit of six plants per household.

The tax structure for legal weed in New York is complicated: there is a 9% sales tax on cannabis products and an additional 4% tax that municipalities can choose to add on. There are also potency taxes that businesses must pay based on the product type. In 2023, the first full year of sales, the Empire State generated over $21 million from cannabis tax revenue.

Vermont

Medical legalized in: 2004

Recreational legalized in: 2018

Weed was legalized in stages in Vermont: possession and home grow were legalized in 2018, but it wasn’t until late 2022 that dispensaries finally opened.  Adults here can possess up to an ounce of weed or five grams of hashish or 8,400 mg of THC in “alternative products.” Home grow laws allow for 6 plants per household

Consumers here pay 14% tax on cannabis bought at dispensaries, with an optional 1% for municipalities to add. Since late 2022, Vermont has generated over $24 million in revenue.

Maine

Medical legalized in: 1999

Recreational legalized in: 2016

Maine was one of the first states in the country to legalize medical marijuana – but only prescribing and possession, not sales. Recreational cannabis was legalized in 2016 although sales didn’t start until 2020. Adults in Maine can possess up to 2.5 ounces of cannabis flower or other products, with a limit of 5 grams on concentrates.

Home grow laws are generous here: up to 15 plants (no more than three mature ones at a time) and an unlimited number of seedlings. Medical patients can grow even more. However, municipalities have the option to not allow retail sales or home grow, although cannabis delivery is still allowed.

Cannabis businesses in Maine are subject to a wholesale tax that is levied by the product type. Consumers pay 10% tax on cannabis sales while medical patients only pay taxes on edibles (8%.) Since sales began in 2020, Maine has generated over $80 million in tax revenue.

Massachusetts

Medical legalized in: 2012

Recreational legalized in: 2016

It took nearly two years after a voter’s initiative legalized recreational weed for dispensaries to open, but home grow and possession were immediately legalized. Adults in Massachusetts can possess up to an ounce of cannabis, with a limit of five grams of concentrate. But at home, the limit is raised to 10 ounces per household. Home grow laws allow for up to 12 plants per household.

Massachusetts imposes a 10.75% tax on cannabis products with an optional 3% tax for municipalities. Medical patients are exempt from this tax. Since 2018, the state has generated nearly $1 billion in revenue, with many consumers from across the Northeast traveling to Massachusetts before weed was legalized in other states.

Rhode Island

Medical legalized in: 2006

Recreational legalized in: 2022

Rhode Island made the transition from medical to recreational market happen in a matter of months by allowing existing medical cannabis companies to sell to adults as well. Adults in this state may possess an ounce of cannabis in public and up to 10 ounces at home. Home grow is limited to six plants per household. The legalization put into place some protections for workers and parents who consume cannabis

Rhode Island has a 10% consumer tax on cannabis sales, and municipalities have the option to add another 3%. Medical sales are not subject to an additional excise tax. Since sales began in December 2022, the state has generated over $15 million in revenue.

New Jersey

Medical legalized in: 2010

Recreational legalized in: 2021

Voters advocated for legal cannabis in New Jersey in November 2020, but it wasn’t made into law until early 2021. Legalization here made waves for being one of the most advanced in terms of social equity provisions.

Adults may possess up to six ounces of cannabis, but purchase limits are significantly lower: one ounce of flower, four grams of concentrate, four grams of oil, or 1000 mg of edibles. Growing cannabis at home is not allowed in the recreational or medical market in New Jersey.

Taxes on cannabis for consumers are straightforward: 6.625% tax with an optional 1 – 2% tax localities may add. But it’s not so straightforward for businesses, which must pay a fluctuating excise tax based on the average sale price of ounces. Since 2022, New Jersey has generated over $65 million in tax revenue from cannabis sales.

Maryland

Medical legalized in: 2014

Recreational legalized in: 2022

Maryland has a relatively young cannabis market that is rapidly expanding. While legalization was passed in 2022, sales didn’t start until mid-2023. Adults here can have up to 1.5 ounces of cannabis, 12 grams of concentrate, or 750 of edible THC. Home grow is very limited, but allows for two plants per household and four plants for medical patients.

Consumers here pay a 9% excise tax on cannabis products, one of the lowest in the country. Medical patients do not pay additional taxes. Since 2023, Maryland has generated over $40 million in cannabis tax revenue.

Delaware

Medical legalized in:

Recreational legalized in: 2023

Delaware legalized recreational cannabis in 2023, but retail sales have not yet started, and are expected to begin in 2025. Adults in Delaware may possess up to an ounce of cannabis, six grams of concentrates, and 750 of edible THC. Medical patients have a higher limit. Delaware does not allow for home grow.

Delaware has a 15% tax on cannabis sales, which should generate a substantial amount of revenue for the state once sales begin. Medical patients do not have to pay additional taxes.

Minnesota

Medical legalized in: 2014

Recreational legalized in: 2023

Recreational cannabis is fairly new in Minnesota, legalized in mid-2023 with sales expected to start in 2025. Adults here can possess up to two ounces of cannabis in public, eight grams of concentrate, and 800 mg of edible THC. At home, the possession limit is raised to two pounds. Home grow is allowed here, with a limit of eight plants. Consumers here pay 10% on cannabis sales, but medical patients are exempt.

Virginia

Medical legalized in: 2017

Recreational legalized in: 2021

The cannabis market in Virginia is one of the most complicated in the nation. Although Virginia voters opted to legalize recreational cannabis back in 2021, sales have not yet begun. What is allowed is possession of an ounce of cannabis and home cultivation of four plants.

A bill was vetoed in 2024 by the Governor that would have allowed adult-use sales to begin. When they finally do (although there is no timeline), adults over 21 will pay a 21% sales tax on all cannabis purchases.

Alaska

Medical legalized in: 1998

Recreational legalized in: 2014

The Last Frontier has long been a leader in the cannabis industry, legalizing recreational weed back in 2014, with sales starting in 2016. Consumers here don’t pay excise taxes on weed — yet. A recent change in legislation implemented a 3% tax to start in July 2028. Medical patients will not be exempt from this. Businesses shoulder most of the burden for taxes, placing an excise tax on wholesale prices per product category. Since sales began in 2016, Alaska has generated over $160 million in tax revenue.

Adults in this state may purchase and possess up to an ounce of cannabis or seven grams of concentrate (not both.) Home grow is allowed here, with a blanket allowance of 12 plants per household.

Every state in the United States has different rules governing their cannabis markets. But you don’t have to navigate the seas of red tape and regulations alone. The most successful cannabis businesses are those that build a supportive network to go farther together.

Protecting your cannabis company can seem confusing; however, we’re a full-service insurance brokerage working with carriers worldwide to offer you the best coverage possible. We’re here to help! Please reach out to us today by email [email protected] or calling 646-854-1093 for a customized letter or learning more about your cannabis insurance options.