Beginning October 1, 2021, the state of Montana will begin issuing recreational marijuana cultivation licenses. The licenses will be approved and issued through the Montana Department of Revenue. If you are considering becoming involved in opening up a cultivation business, one of our Montana large marijuana cultivator license lawyers can help you through this process.
Initiative 190
In 2020, Montana voters approved Initiative 190. This new law legalized the possession and use of limited amounts of marijuana for adults who are over the age of 21.
The law also stipulated that the Montana Department of Revenue will be the state agency that will have oversight over licensing and regulation of all cultivation, transportation, and sales of all marijuana and marijuana-infused products. The agency will also have the responsibility of inspecting any premises where marijuana is cultivated or sold.
The new law also established a 20 percent tax on non-medical marijuana. A little more than half of this revenue goes to the state general fund, with the balance going to substance abuse treatment, veterans’ services, conservation programs, and healthcare costs, as well as to the municipalities where marijuana is being sold. It is estimated that these taxes will generate about $48 million annually for the state by the year 2025.
Lucrative Business
Large marijuana cultivator license lawyers in Montana understand that just based on the projected tax revenue the state is anticipating collecting, a marijuana cultivation business could be extremely profitable. If you are considering this business, it is critical to have a knowledgeable attorney going through this process with you in order to ensure your license application will not be denied. It is also important to know the fees associated with applying for the license before you begin the process.
The cost of the license depends on the square footage of your business. Under current Montana law, there are 10 “canopies” that a license may fall under:
- Micro Tier Canopy: Space of up to 250 square feet, $1,000 application fee
- Canopy 1: Space of up to 1,000 square feet, $2,500 application fee
- Canopy 2: Space of up to 2,500 square feet, $5,000 application fee
- Canopy 3: Space of up to 5,000 square feet, $7,500 application fee
- Canopy 4: Space of up to 7,500 square feet, $10,000 application fee
- Canopy 5: Space of up to 10,000 square feet, $13,000 application fee
- Canopy 6: Space of up to 13,000 square feet, $15,000 application fee
- Canopy 7: Space of up to 15,000 square feet, $17,500 application fee
- Canopy 8: Space of up to 15,250 square feet, $20,000 application fee
- Canopy 9: Space of up to 20,000 square feet, $23,000 application fee
Call Our Office Today
If you would like to meet with one of our knowledgeable Montana large marijuana cultivator license lawyers, contact Silverman Law Office today to schedule a confidential obligation.