59-12-104.10.  Exemption from sales tax for cannabis.

(1)  As used in this section:

Terms Used In Utah Code 59-12-104.10

  • Sale: includes :
(i) installment and credit sales;
(ii) any closed transaction constituting a sale;
(iii) any sale of electrical energy, gas, services, or entertainment taxable under this chapter;
(iv) any transaction if the possession of property is transferred but the seller retains the title as security for the payment of the price; and
(v) any transaction under which right to possession, operation, or use of any article of tangible personal property is granted under a lease or contract and the transfer of possession would be taxable if an outright sale were made. See Utah Code 59-12-102
(a)  “Cannabis” means the same as that term is defined in Section 26B-4-201.

(b)  “Cannabis product” means the same as that term is defined in Section 26B-4-201.

(c)  “Medical cannabis device” means the same as that term is defined in Section 26B-4-201.

(d)  “Medical cannabis pharmacy” means the same as that term is defined in Section 26B-4-201.

(e)  “Medicinal dosage form” means the same as that term is defined in Section 26B-4-201.

(2)  In addition to the exemptions described in Section 59-12-104, the sale by a licensed medical cannabis pharmacy of the following is not subject to the taxes this chapter imposes:

(a)  cannabis in a medicinal dosage form; or

(b)  a cannabis product in a medicinal dosage form.

(3)  The sale of a medical cannabis device by a medical cannabis pharmacy is subject to the taxes this chapter imposes.

Amended by Chapter 329, 2023 General Session