Arizona's Marijuana Sales Exceed $1.2B — and Millions Will Help Fund Education

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One year after the legalization of recreational cannabis in Arizona, consumers have purchased more than $1.23 billion worth of medical and recreational marijuana products, according to data from the state's Department of Revenue.

Pot taxes allowed the state to collect more than $196 million from cannabis sales — most of which will help fund education.

"This is a momentous day for Arizona," Samuel Richard, the executive director of the Arizona Dispensaries Association, said in a press release. "Rarely does an industry produce over $1.2 billion in revenue in its first year. This number shows that the legalization of cannabis is something Arizonans believe strongly in and the many benefits it contributes to the state's economy."

Medical use comprised $703 million of the sales while $528 million was made from adult recreational purchases, the Department of Revenue's website states.

These figures — which do not include the final numbers for December — surpass expectations for sales, which the department estimated to total $700 million in medical purchases and $500 million for recreational use, according to the Arizona Business Journal.

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The total also exceeds the first-year sales of other states that have legalized recreational marijuana, according to ABC station KNXV.

The tax revenue includes $7.3 million in education sales tax and $92.9 million in Marijuana Excise Tax, which funds community colleges and county health departments, according to KNXV.

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In Arizona, the sale of recreational marijuana started in January 2021 after voters approved Prop 207 the previous year.

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People over the age of 21 are now allowed to have limited possession of marijuana in the state. Recreational sales are allowed at licensed retailers and adults are also able to grow six of their own plants at home for personal use, according to

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