IL MEDICAL CARD HOLDERS RECEIVE A 30% DISCOUNT ON CANNABIS PRODUCTS. THIS DISCOUNT CANNOT BE COMBINED WITH ANY OTHER DEALS AND/OR DISCOUNTS.

TAXES INCLUDED ON ALL PRICES. PRICE IS OUT THE DOOR PRICE.

Understanding Recreational Adult-Use Cannabis Taxes in Illinois: Investing in Communities, Building a Brighter Future 

Understanding Recreational Adult-Use Cannabis Taxes in Illinois

At Lyfe Dispensary, a leading recreational cannabis dispensary in Rockford, Illinois, we believe cannabis education is the foundation of empowerment. Cannabis is more than a product; it’s part of an evolving industry that helps fund community development and support social equity initiatives. By understanding how adult-use cannabis and medical cannabis are taxed and how your dollars are used, you gain the power to make intentional, informed purchases. We are here to ensure you feel confident in your shopping choices and proud of the positive ripple effects your contributions create.

Breaking Down Adult-Use Recreational Dispensary Cannabis Taxes in Illinois

In Illinois, cannabis products are taxed based on their form and potency. Here’s how the cannabis tax rates are structured:

    • Cannabis Flower, Leaves, and Plants: Products with THC levels at or below 35% are taxed at 10% of the purchase price.

    • Infused Products: Edibles, tinctures, and other cannabis-infused items are taxed at 20%, regardless of THC content.

    • Concentrates: Vapes, waxes, and other products with THC levels exceeding 35% (excluding infused items) carry a 25% tax.

These cannabis-specific taxes are in addition to Illinois’ standard state sales tax of 6.25% and any applicable local sales taxes. All taxes are applied at the point of sale, whether you’re purchasing recreational cannabis or medical cannabis products.

At Lyfe, we bundle taxes into our listed menu prices, so there are no surprises at checkout—often referred to in the industry as “Out-the-Door Pricing.”

Where Your Tax Dollars Go

Cannabis tax revenue in Illinois is thoughtfully allocated to programs that benefit the state and its residents. Here’s the breakdown:

    • 45%: Cannabis Regulation Fund – Covers industry regulation and compliance.

    • 35%: General Revenue Fund – Supports statewide programs and services.

    • 8%: Local Governments – Benefits municipalities where cannabis sales occur.

    • 2%: Substance Abuse Prevention and Treatment – Funds programs addressing risks of cannabis use.

    • 2%: Community College Cannabis Vocational Training Pilot Program – Prepares students for careers in the cannabis industry.

    • 2%: Law Enforcement Training – Develops cannabis-related training for law enforcement officers.

    • 2%: Restoring Our Communities (ROC) Program – Reinvests in communities disproportionately impacted by the War on Drugs.

    • 2%: Expungement and Legal Aid – Assists with clearing cannabis-related convictions.

    • 2%: Mental Health and Substance Use Disorder Services – Supports broader health initiatives.

    • 1%: Department of Agriculture – Invests in cannabis industry innovation.

    • 1%: Crime Prevention and Education – Focuses on cannabis-related DUI prevention and public safety.

Why This Matters to You

At Lyfe Dispensary, we know cannabis is about more than just the products—it’s about creating an equitable and informed society. By understanding the role of cannabis taxes in Illinois, you can see how your purchases support initiatives that align with your values:

    • Supporting social equity and expungement programs.

    • Reinvesting in underserved communities.

    • Funding educational and mental health resources.

Every dollar spent on cannabis doesn’t just fuel an industry—it helps build stronger communities and creates opportunities for a more inclusive future.

Shopping with Intention

When you shop at Lyfe Dispensary in Rockford, IL—whether you’re seeking the best dispensary near me or exploring new edibles and tinctures—you’re not just buying premium cannabis products. You’re actively participating in meaningful change. Each purchase supports programs that improve lives and strengthen Illinois communities. That’s why we’re committed to transparency and cannabis education, empowering you to make choices that align with your values.

The Bigger Picture

While cannabis taxes can feel like a lot at first glance, they’re a critical part of building a more equitable Illinois. From funding vocational training to supporting mental health initiatives and addressing the impacts of the War on Drugs, these taxes make a genuine difference.

At Lyfe Dispensary, we’re proud to be part of this transformative journey. Together, we’re not just supporting a thriving cannabis industry—we’re laying the foundation for a brighter, more connected future.Thank you for being a part of this journey. Let’s continue to elevate not just ourselves, but our communities too.

Check out the Lyfe Menu today!

Understanding Recreational Adult-Use Cannabis Taxes in Illinois: Investing in Communities, Building a Brighter Future 

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Illinois Medical Card Holders receive a 30% discount on cannabis products.
This discount cannot be combined with any other deals and/or discounts.

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