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Tax Questions to Ask When Structuring Your Oregon Cannabis Business

08/25/2021

If you’ve decided you want to benefit from the booming growth of the cannabis business in Oregon, you are probably interested in learning all you can about how to set up your business to be compliant with Oregon state laws. And, just like all other businesses, a cannabis retail business must pay taxes. As a cannabis retailer, you will need to charge a retail sales tax of 17 percent for all recreational marijuana sales, and you may also need to charge an additional 3 percent sales tax for some local Oregon areas. Some counties may require you to pay that local tax separately from the state tax, while others allow you to pay the two taxes together.

How Do You Register Your Business?

All Oregon marijuana retailers must register their business with the Oregon Department of Revenue as soon as you get your business license from the Oregon Liquor Control Commission, or OLCC. Even if you’re not going to open your business immediately, you are still required to register. Registration can be done most easily online or by downloading a form and then faxing it to the department. There must be a separate registration filed for each separate marijuana retail business.                              

How Do You File and Pay Your Taxes?

Once you have registered your business with the Oregon Department of Revenue, you will get instructions on how to sign up for a Revenue Online account. You can use this online account to file your tax returns, which are due every quarter. However, your tax payments are due each month. You can also use the Revenue Online account to set up a tax payment plan that is easy to use. You can also keep track of your account balances, send messages, and even designate a power of attorney for your account.

Call to Schedule a Free Consultation With an Oregon Certified Public Accountant Today

If you are setting up a new Oregon cannabis retail business and want to learn more about how to handle the related tax issues, call to schedule a free consultation with an Oregon certified public accountant today. The experienced professionals at the digital accounting firm Perpetual CPA can answer all of your cannabis business tax-related questions and help you get registered. Visit our web site at perpetualcpa.com or give us a call at (503) 217-4114 and speak with our friendly staff to set up your consultation. We look forward to speaking with you.

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