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Colorado · Through Colorado Revised Statutes 2026

C.R.S. § 39-28.8-101: Definitions.

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Where this section sits in the code
  1. Title 39 - Taxation
  2. Article 28.8 - Taxes on Marijuana and Marijuana Products
  3. Part 1 - DEFINITIONS

Unless the context otherwise requires, any terms not defined in this article 28.8 have the meanings set forth in article 26 of this title 39. As used in this article 28.8, unless the context otherwise requires:

(1) "Affiliated marijuana business licensees" means marijuana business licensees that are owned or controlled by the same or related interests, where "related interests" includes individuals who are related by blood or marriage or entities that are directly or indirectly controlled by an entity or individual or related individuals.

(1.5) "Average market rate" means the average price, as determined by the department on a quarterly basis, of all unprocessed retail marijuana that is sold or transferred from retail marijuana cultivation facilities in the state to retail marijuana product manufacturing facilities or retail marijuana stores, less taxes paid on the sales or transfers. An "average market rate" may be based on the purchaser or transferee of unprocessed retail marijuana or on the nature of the unprocessed retail marijuana that is sold or transferred. The "average market rate" must include one or more rates that cover unprocessed marijuana that is allocated to extractions, including fresh frozen indoor unprocessed retail marijuana and fresh frozen outdoor unprocessed retail marijuana. The initial rates for unprocessed marijuana that are allocated to extractions must be lower than the rate for unprocessed marijuana that is allocated for direct sale to consumers. The department shall adopt rules to establish the rates for fresh frozen indoor unprocessed retail marijuana and fresh frozen outdoor unprocessed retail marijuana on or before July 1, 2027.

(2) "Consumer" means a person twenty-one years of age or older who purchases retail marijuana or retail marijuana products for personal use by persons twenty-one years of age or older but not for resale to others.

(2.5) "Contract price" means the invoice price charged by a retail marijuana cultivation facility to each licensed purchaser for each sale or transfer of unprocessed retail marijuana, exclusive of any tax that is included in the written invoice price, and exclusive of any discount or other reduction. In the case of multiple invoices reflecting multiple prices for the same transaction, "contract price" is the highest such price.

(3) "Department" means the department of revenue.

(4) "Hemp" has the meaning set forth in section 35-61-101 (7).

(4.5) "Indoor unprocessed retail marijuana" means unprocessed retail marijuana cultivated in any manner other than outdoor unprocessed retail marijuana, as defined in subsection (6.7) of this section.

(5) "Local government" means a county, municipality, or city and county.

(6) "Medical marijuana store" means an entity licensed by the department to sell marijuana and marijuana products pursuant to section 14 of article XVIII of the state constitution and the "Colorado Marijuana Code", article 10 of title 44, or its predecessor codes.

(6.5) "Natural weather conditions" means ambient temperature, precipitation, and humidity.

(6.7) (a) "Outdoor unprocessed retail marijuana" means unprocessed retail marijuana that, except as provided in subsection (6.7)(b) of this section, was cultivated under natural sunlight without artificial light or light deprivation, with direct exposure to natural weather conditions, and not within an indoor facility, greenhouse, or other structure that prevents exposure to natural sunlight and natural weather conditions.

(b) Outdoor unprocessed marijuana may be:

(I) Cultivated using artificial light to maintain vegetative plants under twenty-four inches in height and to maintain mother plants;

(II) Cultivated using irrigation, fertigation, or similar agricultural practices; and

(III) Protected from an adverse weather event pursuant to a contingency plan approved by the state licensing authority pursuant to section 44-10-602 (14).

(7) (a) (I) "Retail marijuana" means all parts of the plant of the genus cannabis whether growing or not, the seeds of the plant, the resin extracted from any part of the plant, and every compound, manufacture, salt, derivative, mixture, or preparation of the plant, its seeds, or its resin, including marijuana concentrate;

(II) "Retail marijuana" includes:

(A) A nonintoxicating cannabinoid, as defined in section 44-10-103 (42.5), produced from retail marijuana;

(B) A potentially intoxicating cannabinoid, as defined in section 44-10-103 (48.5), produced from retail marijuana; and

(C) An intoxicating cannabinoid, as defined in section 44-10-103 (22.5), produced from retail marijuana.

(b) "Retail marijuana" does not include hemp, nor does it include fiber produced from the stalks, oil, cake made from the seeds of the plant, sterilized seed of the plant that is incapable of germination, or the weight of any other ingredient combined with marijuana to prepare topical or oral administrations, food, drink, or other product.

(8) "Retail marijuana cultivation facility" means an entity licensed to cultivate, prepare, and package retail marijuana and sell retail marijuana to retail marijuana stores, to retail marijuana product manufacturing facilities, and to other retail marijuana cultivation facilities, but not to consumers.

(9) "Retail marijuana products" means concentrated retail marijuana products and retail marijuana products that are comprised of retail marijuana and other ingredients and are intended for use or consumption, such as, but not limited to, edible products, ointments, and tinctures.

(10) "Retail marijuana product manufacturing facility" means an entity licensed to purchase retail marijuana; manufacture, prepare, and package retail marijuana products; and sell retail marijuana and retail marijuana products to other retail marijuana product manufacturing facilities and to retail marijuana stores, but not to consumers.

(11) "Retail marijuana sales tax" means the sales tax imposed on retail marijuana and retail marijuana products pursuant to part 2 of this article.

(12) "Retail marijuana store" means an entity licensed by the department to purchase retail marijuana from retail marijuana cultivation facilities and retail marijuana and retail marijuana products from retail marijuana product manufacturing facilities and to sell retail marijuana and retail marijuana products to consumers.

(12.5) "Retail marijuana taxes" means the retail marijuana excise tax imposed under section 39-28.8-302 and the retail marijuana sales tax imposed under section 39-28.8-202.

(13) "Sale" means any exchange or barter, in any manner or by any means whatsoever, for consideration.

(14) "Transfer" means to grant, convey, hand over, assign, sell, exchange, or barter, in any manner or by any means, with or without consideration.

(15) "Unprocessed retail marijuana" means marijuana at the time of the first transfer or sale from a retail marijuana cultivation facility to a retail marijuana product manufacturing facility or a retail marijuana store.

Collected 2026-09-14T18:37:45Z. Source file · JSON

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