AB 564: Cannabis: excise tax: rate increase suspension: report.

The bill amends the cannabis tax law to temporarily suspend the increase in the cannabis excise tax rate. For the period from July 1, 2025, to September 30, 2025, the tax rate remains at 19%. Starting from October 1, 2025, the rate decreases to 15%. The tax rate is adjusted every 2 years thereafter to ensure the revenue generated equals the amount collected under the discontinued cultivation tax. The Department of Cannabis Control is required to submit a report to the legislature by October 1, 2027, analyzing the current and future effect of the tax law on the regulated cannabis market and recommending changes to the law.