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“Understanding California’s Marijuana Laws: What You Need to Know from January 1 Onward”

Los Angeles Marijuana Business Attorney

Effective January 1, 2018, new California marijuana laws to roll out. California will starts accepting online applications for temporary business permits for marijuana business owners. The Bureau of Cannabis Control’s online application system will open in December and that the BCC will begin emailing temporary licenses to retailers before the new year. The licenses will become valid on Jan. 1.  By New Year’s Day, marijuana/cannabis business owners should be receiving an email from the state regarding the approval of the temporary marijuana business permits. Temporary marijuana business permits will be good for four (4) months. The purpose of giving business owners 4 months, is to give marijuana shop owners time to complete all other additional information needed to receive permanent licenses. Once approved, you will be able to immediately start selling cannabis to adult 21 and over with an valid ID. Prop 64 further opens the door for local governments to permit marijuana consumption at retailers and companies with a micro-business license, which combines a small cultivation site, distribution and retail.

California Quality Control Regulations for Pot

California law imposes quality control regulations for pot, which requires new testing procedures. For instance, prior to distributing marijuana products, cannabis distributors will be required to test samples for possible pesticides residue, and bacteria. Products must also be labeled with the weight, THC, and CBD content.

California Cannabis Sales Tax Effective January 2018

California cannabis sales tax taking effect January 2018. A 15% levy on all cannabis sales will be added on cannabis and medical marijuana products. Local governments are also adding taxes for sellers and growers which potentially could result in a 70% increase in the price of a small bag of good quality marijuana.

Specific California Marijuana Regulations Effective January 1, 2018

Some specific California marijuana regulations to go into effect January 1, 2018 including the following:

  • Edible cannabis products must be produced with no more than 10 milligrams of THC serving size
  • Edible cannabis products may not be more than 100 milligrams of THC for the total package
  • Marijuana dispensaries and cannabis shop owners will ONLY be allowed to give free cannabis products to medical marijuana patients or their caregivers
  • Annual marijuana licenses range from $800 for businesses that transport/deliver cannabis, while marijuana business shop owners who are engaging in multiple activities and earning more than $4.5 million a year the price for annual marijuana license can be up to $120,000
  • Applications for special license to host cannabis events, such as festivals at fairgrounds.
  • Marijuana businesses will only be allowed to advertise, however, limits the advertising ads in areas where at least 71.6 percent of the audience “is reasonably expected to be 21 years of age or older.”

Restrictions Under California Proposition 64?

Some restriction under California Prop 64 effective January 1, 2018 include:

  • Adults 21 and older to use marijuana
  • May possess up to 28.5 grams of marijuana
  • May grow up to six plants at their private home locked and not visible to the public.

If you have questions regarding marijuana laws or or are seeking to start a recreational marijuana business in California, or how to obtain a marijuana license, KAASS LAW invites you to contact our Los Angeles marijuana business attorneys for a consultation.


KAASS LAW is authorized to practice law in California. The above content is intended for California residents only. This content provides only general information which may or may not reflect current legal developments. KAASS LAW expressly disclaims all liability in respect to actions taken or not taken based on any of the contents of this website. The above content DOES NOT create an attorney-client relationship. KAASS LAW does not represent you unless you have expressly retained KAASS LAW in person at the KAASS LAW office.

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