If you’re looking for the best deals on cannabis in the East Bay, one of the biggest factors affecting price is taxes. Some cities charge much lower taxes than others, making a big difference in how much you pay at checkout. This guide breaks down where to find the lowest cannabis taxes in the East Bay, why tax rates vary, and how to save money when buying legal cannabis.
Why Cannabis Taxes Matter
Cannabis taxes can add a significant amount to your total cost. In California, there are multiple layers of taxes, including state excise taxes, sales taxes, and local city taxes. Depending on where you shop, these extra fees can increase your final price by 20% or more.
For budget-conscious buyers, choosing a dispensary in a low-tax city can lead to big savings. Some East Bay cities have intentionally kept taxes low to attract cannabis businesses and customers, while others impose higher fees. Knowing where to shop can help you keep more money in your pocket.
East Bay Cities with the Lowest Cannabis Taxes
Not all East Bay cities tax cannabis the same way. Some have minimal local taxes, while others add hefty fees on top of state taxes. Here are some of the most affordable places to buy cannabis based on tax rates:
Oakland
Oakland has been a leader in the legal cannabis market and offers competitive tax rates. The city charges a 5% local tax on adult-use cannabis, which is lower than many neighboring areas. Combined with state taxes, the total added fees are still reasonable compared to higher-tax cities.
Richmond
Richmond is another great option for low cannabis taxes. The city imposes a 4% tax on retail cannabis sales, making it one of the most affordable places to buy legally. This lower rate helps dispensaries offer better prices to customers.
Emeryville
Emeryville has a flat tax rate of 4.5% on cannabis sales, keeping costs lower than in cities with higher fees. Its small size and business-friendly policies make it a convenient spot for budget shoppers.
Unincorporated Alameda County
Some dispensaries operate in unincorporated areas, where local taxes may be lower than in major cities. Because these locations fall under county jurisdiction rather than city rules, they sometimes have more favorable tax rates.
How Taxes Affect Cannabis Prices
When you buy cannabis, multiple taxes are applied:
- State Excise Tax (15%) – This is added to all legal cannabis sales in California.
- State Sales Tax (7.25% + local adjustments) – The base sales tax applies, but some cities add more.
- Local Cannabis Tax (varies by city) – This is where East Bay cities differ the most.
For example, if a city adds a 10% local tax, your total taxes could be over 30%. But in a city with just a 4% local tax, you’ll pay significantly less.
Tips for Finding the Best Cannabis Deals in the East Bay
Since taxes play a big role in pricing, here’s how to make sure you’re getting the best deal:
Compare Dispensary Locations
Check dispensaries in low-tax cities like Richmond or Emeryville versus higher-tax areas like Berkeley or San Francisco. Even a short drive can lead to major savings.
Look for Discounts and Promotions
Some dispensaries run specials that offset tax costs, such as “tax-free” sales days or loyalty rewards. Signing up for newsletters or following shops on social media can help you catch these deals.
Buy in Bulk
Since taxes are percentage-based, buying larger quantities at once can reduce the overall impact of taxes per gram. Many dispensaries also offer bulk discounts.
Consider Medical Cannabis (If Eligible)
Medical cannabis patients often pay lower taxes than recreational buyers. If you have a medical recommendation, you could save money at certain dispensaries.
Why Some Cities Keep Cannabis Taxes Low
Cities with lower cannabis taxes often do so to:
- Attract more businesses – Dispensaries prefer locations with lower tax burdens.
- Encourage legal sales – Lower taxes help compete with the illegal market.
- Boost local economies – More customers mean more revenue for nearby businesses.
By keeping taxes reasonable, these cities create a thriving legal cannabis market while giving customers better prices.
Final Thoughts
If you want to pay the lowest taxes on cannabis in the East Bay, focus on cities like Richmond, Oakland, and Emeryville, where local tax rates are kept low. Comparing dispensaries, taking advantage of sales, and buying strategically can all help reduce your costs.
Since taxes make up a big part of the final price, smart shoppers always check local rates before making a purchase. With this guide, you’ll know exactly where to find the most affordable legal cannabis in the East Bay.
