Adult Use

California Cannabis Laws & Dispensary Compliance Guide

Last reviewed: June 14, 2026

Reviewed byFrancine Whu Muhammad, JDSenior Director, Compliance & Enterprise Risk

Dutchie does not provide compliance advice. Merchants are responsible for their own compliance. External Dutchie compliance documentation may be updated from time to time and has been prepared for informational purposes only, is not intended to provide, and should not be relied on for, tax, legal or compliance advice. Merchants should consult their own tax, legal and compliance advisors to determine how best to operate within the cannabis industry.

Market Status

Medical &adult-use allowed

Traceability

Metrc

Regulator

Department of Cannabis Control (DCC)

Market Type

In California, cannabis is regulated by the Department of Cannabis Control (DCC). Medical and adult-use cannabis are allowed.

Metrc and Inventory

California uses Metrc as their state traceability system. In California, medical and adult-use cannabis inventory are shared.

Purchase Limits

Adult-use

28.5 grams of non-concentrated cannabis
8 grams of cannabis concentrate, including cannabis concentrate contained in cannabis products
6 immature cannabis plants

Medical

8 oz of cannabis flower
12 immature plants

Equivalencies

While CA does not have equivalent limits, the category of cannabis concentrate is shared between many product types.

Taxes

Taxes are overseen by the California Department of Tax and Fee Administration. They have built an excellent guide for cannabis taxes. Cannabis in California is potentially subject to local taxes, the state excise tax, and state sales tax.

Delivery

Retailers and non-storefront retailers may conduct deliveries in CA. Municipalities may restrict delivery within their limits.

California allows for extra inventory to be carried so a driver may be dispatched from the road.

Maximum amount of inventory for delivery

A licensed retailer’s delivery employee shall not carry cannabis goods in the delivery vehicle with a value in excess of $10,000 at any time. This includes both inventory associated with an order and that available for order.

Delivery locations

Delivery restrictionsRetailers may only deliver to physical addresses. Deliveries cannot be made on public land, or in buildings leased by a government agency. Schools and childcare centers are additionally prohibited.

Delivery misc.

All vehicles must have GPS.

Retailers must keep a detailed delivery log and update it after each sale.

State Resources

The DCC makes their current and proposed rules public at the link below.

this site

About the author

Written by

Roy Sherwood

Senior Regulatory Compliance Analyst

Frequently asked questions

What type of cannabis market is California?

California is a Medical & adult-use allowed cannabis market.

Who regulates cannabis in California?

Cannabis in California is regulated by Department of Cannabis Control (DCC).

What cannabis traceability system does California use?

California uses Metrc as its cannabis traceability system.

What are the cannabis purchase limits in California?

28.5 grams of non-concentrated cannabis 8 grams of cannabis concentrate, including cannabis concentrate contained in cannabis products 6 immature cannabis plants 8 oz of cannabis flower 12 immature plants Equivalencies While CA does not have equivalent limits, the category of cannabis concentrate is shared between many product types.

How is cannabis taxed in California?

Taxes are overseen by the California Department of Tax and Fee Administration . They have built an excellent guide for cannabis taxes . Cannabis in California is potentially subject to local taxes, the state excise tax, and state sales tax.

Is cannabis delivery allowed in California?

Retailers and non-storefront retailers may conduct deliveries in CA. Municipalities may restrict delivery within their limits. California allows for extra inventory to be carried so a driver may be dispatched from the road.