Cannabis Equity Tax Credit
The Cannabis Equity Tax Credit (CETC) is available for taxable years beginning January 1, 2023 through December 31, 2027. Qualified cannabis businesses may receive a tax credit of $10,000.
A qualified taxpayer is an equity licensee that has received approval (including approval contingent upon the availability of funds) for the fee waiver and deferral program administered by the California Department of Cannabis Control.
The Department of Cannabis Control will provide FTB with a list of qualified taxpayers.
Claiming the credit
You can claim the nonrefundable credit for taxable years beginning January 1, 2023 through December 31, 2027.
Any unused credit may be carried over for 8 taxable years after the year the credit was generated.
For questions regarding the CETC, contact us at: