California Excise Tax Rate 2023 Update

Updated by NIr Malchy

On January 1, 2023, the responsibility for collecting and paying the cannabis excise tax to the California Department of Tax and Fee Administration (CDTFA) shifts from distributors to cannabis retailers.  

We are following up to update you on the changes we make following this change.

Flourish Software 

Outbound
  • Any Orders that had an Excise Tax Rate will maintain the value. You can edit them to the appropriate Excise Tax Rate.
  • Any new orders will default to zero Excise Tax value.
  • Cloned orders will inherit the Excise Tax value of the 'Parent' order.

Destination Details
  • The Excise Tax for this Destination is grayed out, setting this value at 'None.'

Flourish External API

Create an Outbound Order

Create an Outbound Order - POST Outbound Order

Flourish Software defaults to a 0% Excise Tax Rate when you create a new outbound order.

Update Outbound Order

Update Outbound Order - PUT Outbound Order 

When you update an existing order, provide a null value to the "excise_tax_rate" field to set the Excise Tax Rate on the Flourish order to 0%. 

The bottom line: Set the Excise Tax Rate in LeafLink when you create the order.
  • Flourish Software syncs the Excise Tax Rate from LeafLink.
  • You can always edit the Excise Tax Rate in Flourish Software.
Set the Excise Tax Rate in LeafLink when you create the order.

If you don't set the Excise Tax Rate in Leaflink to zero, editing the order in LeafLink might push the tax rate back to the order to Flourish.

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