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South Lake Tahoe Council OKs 1‑Year Cut to Cannabis Tax, Ends Mitigation Fee
Summary
The South Lake Tahoe City Council voted to move forward with a one‑year reduction in the local cannabis business tax from 6% to 3% and to eliminate the public safety mitigation fee, directing staff to return with implementation details and an economic review before the change expires.
The South Lake Tahoe City Council voted on Nov. 4 to pursue a one‑year reduction in the city’s local cannabis business and professions tax from 6% to 3% and to phase out the public safety mitigation fee, measures the council said will be reviewed again before any permanent change.
Council members said they were responding to pleas from local cannabis operators who said high tax rates were driving customers to the unregulated market and to neighboring Nevada. “Reducing it from 6% to 3% is a meaningful improvement,” said Jess, CEO of Canaloo, speaking at the meeting. She urged the city to consider a 1% rate to stabilize the legal market and to protect medical patients who rely on…
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