Reading Time: < 1 minute

Wisconsin Watch partners with Gigafact to produce Fact Briefs — bite-sized fact checks of trending claims. Read our methodology to learn how we check claims.

Yes.

Cannabis isn’t legal in Wisconsin, so residents are purchasing it in states where it is, generating tax money for those states. 

Wisconsin borders three states with legal recreational cannabis: Michigan, which legalized it in 2018; Illinois, which legalized it in 2019; and Minnesota, which legalized it in 2023

Illinois tracks cannabis sales by in-state versus out-of-state purchasers. A 2023 analysis from Wisconsin’s nonpartisan Legislative Fiscal Bureau found Illinois collected $36.1 million in tax revenue in 2022 from out-of-state residents who purchased cannabis in counties bordering Wisconsin.

About half of cannabis sales in 2022 at dispensaries in Illinois counties that border Wisconsin were to out-of-state residents, the analysis found. 

Michigan and Minnesota do not track nonresident cannabis purchases. 
In Michigan, marijuana tax revenue is shared with local governments and tribes, as well as the state’s School Aid and Transportation funds.

This fact brief is responsive to conversations such as this one.

Sources

Think you know the facts? Put your knowledge to the test. Take the Fact Brief quiz

Creative Commons License

Republish our articles for free, online or in print, under a Creative Commons license.

Madeline Heim is a public health and environment reporter at the Milwaukee Journal Sentinel. She joined the paper in 2022 as a Report for America corps member, writing about the Mississippi River and western Wisconsin. Prior to the Journal Sentinel, she covered the COVID-19 pandemic for the Appleton Post-Crescent. She graduated from the University of Wisconsin-Madison in 2018 with degrees in English and journalism. Contact her at 920-996-7266 or mheim@gannett.com.