Laws

Massachusetts cannabis retailer owes $420K-plus in state taxes


A Massachusetts cannabis retailer challenging the levy of millions of dollars in municipal “community impact fees” owes the state more than $400,000 in sales taxes.

Rebelle, which has outlets in Boston and Great Barrington, owes more than $424,000 in back taxes, prompting the state’s revenue department to attempt to recover the debt through property seizures, Masslive.com reported, citing court documents.

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The state secured a bank levy on Rebelle’s accounts but failed to secure cash, according to a lawsuit obtained by Masslive.com that lists Rebelle and its parent, Community Growth Partners Great Barrington Operations, as defendants.

Rebelle and two other marijuana operators – Farnsworth Fine Cannabis and Theory Wellness – filed a lawsuit in March 2024 against Great Barrington over “community impact fees” levied as part of their host community agreements (HCAs) with the town.

The complaint seeks almost $6 million in damages.

HCAs allow Massachusetts municipalities to extract fees from marijuana operators within their borders – on top of local taxes – to offset potential costs to administer and regulate the businesses.

A legal precedent has been established in Massachusetts to recoup some HCA fees.

In January 2024, the town of Uxbridge reached a $1.2 million settlement with a marijuana retailer that had filed a lawsuit arguing the town failed to justify the fees.



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