U.S. Census Bureau: State Marijuana Tax Collections Reach $986.8 Million in Q2, Up 11% From Last Year
- State governments collected nearly $987 million in marijuana-related taxes in Q2 2026, marking an 11% increase from the same quarter in 2025, according to U.S. Census Bureau data.
- California led tax collections with $161 million, followed by Washington, Michigan, New York, and Illinois, which together accounted for 58% of all state cannabis tax revenue in the quarter.
- Several states saw significant year-over-year growth in cannabis tax collections, including Michigan (49%), New York (38%), Maryland (56%), Ohio (41%), and Minnesota with a 169% increase.
- Some established markets experienced declines in collections, such as Massachusetts (-13%), Montana (-10%), Oklahoma (-9%), Pennsylvania (-8%), Oregon (-8%), and Colorado (-4%).
State governments reported nearly $987 million in marijuana-related tax collections during the second quarter of 2026, an increase of about 11% from the same period last year, according to newly released data from the U.S. Census Bureau.
The Census Bureau’s second-quarter Quarterly Summary of State and Local Government Tax Revenue tables show $986.811 million in collections categorized as cannabis taxes from April through June. That compares with $889.303 million during the second quarter of 2025, an increase of $97.5 million, or 10.96%.
Collections were also up sharply from the first quarter of this year, when states reported $851.615 million. The quarter-to-quarter increase was 15.88%, or approximately $135.2 million.
Combined, the first two quarters of 2026 produced about $1.84 billion in reported state cannabis tax collections.
California continued to lead the country during the second quarter, reporting $160.988 million. Washington was close behind at $153.076 million, followed by Michigan at $110.621 million, New York at $76.821 million and Illinois at $71.827 million.
Those five states alone accounted for approximately $573.3 million, or 58% of the nationwide state total reported by Census.
Several expanding marijuana markets posted particularly large year-over-year increases. Michigan’s collections rose 48.98% from $74.251 million in the second quarter of 2025, while New York increased 38.09% from $55.631 million.
Maryland reported $28.685 million, up 56.13% from $18.372 million a year earlier. Ohio reached $28.568 million, a 41.09% increase from $20.248 million.
Minnesota recorded one of the largest percentage increases, with collections rising 169% from $4.135 million to $11.123 million. Mississippi increased 81.97% to $1.07 million, while Louisiana’s collections rose 44.49% to $3.54 million.
Not every established market saw growth. Massachusetts reported $47.583 million, down 13.25% year over year. Montana declined 10.04% to $13.162 million, Oklahoma fell 8.57% to $10.651 million, Pennsylvania declined 8.08% to $7.892 million and Oregon dropped 7.54% to $33.939 million. Colorado’s total fell 4.23% to $54.955 million.
The Census figures measure state government cannabis tax collections rather than marijuana sales themselves. The agency notes that quarterly collections generally represent taxes received during the quarter and may correspond to sales made during an earlier period, depending on state reporting and payment schedules.
The $986.811 million U.S. figure also excludes Washington, D.C., which separately reported $665,000 for the quarter. Census cautions that its cannabis tax data should not be treated as a comprehensive estimate of every dollar collected nationwide because unavailable state responses are not necessarily replaced with estimates.