AB 2420: Cannabis: donations: seniors.

Official summary

Legislative Counsel’s Digest (official, as of the latest version). Written by nonpartisan legislative staff; reproduced verbatim.

(1)The Control, Regulate and Tax Adult Use of Marijuana Act (AUMA), an initiative measure approved as Proposition 64 at the November 8, 2016, statewide general election, authorizes a person who obtains a state license under AUMA to engage in commercial adult-use cannabis activity pursuant to that license and applicable local ordinances. The Medicinal and Adult-Use Cannabis Regulation and Safety Act (MAUCRSA), among other things, consolidates the licensure and regulation of commercial medicinal and adult-use cannabis activities. MAUCRSA authorizes a licensee that is authorized to make retail sales to provide free cannabis or cannabis products to a medicinal cannabis patient or the patient’s primary caregiver if specified requirements are met.

This bill would authorize a licensee that is authorized to make retail sales to provide free cannabis or cannabis products to a person 65 years of age or older or a senior caregiver, as defined, if specified requirements are met.

(2)Existing sales and use tax laws impose use taxes on the storage, use, or other consumption in this state of tangible personal property purchased from a retailer for storage, use, or other consumption in this state, presumes tangible personal property purchased outside the state that is stored, used, or consumed in this state is purchased for use in this state, and provides various exemptions from those taxes. Existing law, until January 1, 2030, exempts from the use tax the storage, use, or other consumption in this state of medicinal cannabis or medicinal cannabis products that are donated for no consideration, as specified.

This bill, on and after a specified operative date, and until 5 years after that operative date, would exempt from the use tax the storage, use, or other consumption in this state of cannabis or cannabis products that are donated for no consideration to a person 65 years of age or older, as specified. The bill would require the exemption to apply only if the cannabis retailer certifies in writing, as specified, that the cannabis or cannabis product will be used as specified. The bill would make a licensee that uses the donated cannabis or cannabis product in some other manner, or for some other purpose, liable for the payment of use tax and subject to having their license suspended. By expanding the crime of perjury, the bill would impose a state-mandated local program.

The Bradley-Burns Uniform Local Sales and Use Tax Law authorizes counties and cities to impose local sales and use taxes in conformity with the Sales and Use Tax Law, and existing laws authorize districts, as specified, to impose transactions and use taxes in accordance with the Transactions and Use Tax Law, which generally conforms to the Sales and Use Tax Law. Amendments to the Sales and Use Tax Law are automatically incorporated into the local tax laws.

Existing law requires the state to reimburse counties and cities for revenue losses caused by the enactment of sales and use tax exemptions.

Sponsors

Sponsors by party (alphabetical): Democratic 1

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. April 13, 2026In committee: Set, first hearing. Hearing canceled at the request of author.
2. March 23, 2026Re-referred to Com. on B. & P.
3. March 19, 2026From committee chair, with author's amendments: Amend, and re-refer to Com. on B. & P. Read second time and amended.
4. March 19, 2026Referred to Coms. on B. & P. and REV. & TAX.
5. February 21, 2026From printer. May be heard in committee March 23.
6. February 20, 2026Read first time. To print.