[HISTORY: Adopted by the Mayor and Council of the Borough of Roselle 7-21-2021 by Ord. No. 2658-21. Amendments noted where applicable.]
A transfer tax is hereby imposed on the sale of cannabis or cannabis items by cannabis establishments in the Borough of Roselle. The tax shall be imposed on receipts from the sale of cannabis items from one cannabis establishment to another cannabis establishment and receipts from the retail sales of cannabis items by a cannabis retailer to retail consumers who are 21 years of age or older according to the following rates:
A. 
Cannabis cultivator (Class 1): 2% of receipts from each sale.
[Added 6-15-2022 by Ord. No. 2687-22[1]]
[1]
Editor's Note: This ordinance also redesignated former Subsections A through C as Subsections B through D, respectively.
B. 
Cannabis manufacturer (Class 2): 2% of receipts from each sale.
C. 
Cannabis wholesaler (Class 3): 1% of receipts from each sale.
D. 
Cannabis retailer (Class 5): 2% of receipts from each sale.
A user tax is hereby imposed on the value of each transfer or use of cannabis or cannabis items not otherwise subject to the transfer tax imposed pursuant to § 465-1, from the license holder's establishment that is located in the Borough to any of the other license holder's establishments, whether located in the Borough or another municipality. The user tax rate shall be equivalent to the rate specified in § 465-1.
The cannabis transfer tax and user tax imposed by this chapter is in accordance with the provisions of state law and shall be in addition to any other tax or charge.
The cannabis transfer tax or user tax shall be collected or paid, and remitted to the Borough by the cannabis establishment from the cannabis establishment purchasing or receiving the cannabis or cannabis item, or from the consumer at the point of sale, on behalf of the municipality by the cannabis retailer selling the cannabis item to that consumer.
The cannabis transfer tax or user tax shall be stated, charged, and shown separately on any sales slip, invoice, receipt, or other statement or memorandum of the price paid or payable, or equivalent value of the transfer, for the cannabis or cannabis item.
Each cannabis establishment required to collect the transfer tax or user tax imposed by this chapter shall be personally liable for the tax imposed, collected, or required to be collected under this chapter.
All revenues collected by a cannabis establishment from the transfer tax or user tax imposed by this chapter shall be remitted to the Borough's Chief Financial Officer on a quarterly basis according to the same schedule as payment of municipal real property taxes.
The Borough shall enforce the payment of delinquent taxes under this chapter in the same manner as provided for the collection of municipal real property taxes. Any unpaid balance shall accrue interest according to the same schedule and rates as delinquent property taxes. In the event that the tax imposed by this chapter is not paid as and when due by a cannabis establishment, the unpaid balance, and any interest accruing thereon, shall be a lien on the parcel of real property comprising the cannabis establishment's premises in the same manner as all other unpaid municipal taxes, fees, or other charges. Any such lien shall be filed in the office of the Tax Collector and enforced as a municipal lien in the same manner as all other municipal liens are enforced.
Each cannabis establishment required to collect the transfer tax or user tax imposed by this chapter shall provide to the Borough's Chief Financial Officer an annual audited statement which clearly identifies the calculation of gross receipts for the cannabis establishment during the previous year. The annual audited statement shall be prepared by a certified public accountant and shall be submitted to the Borough within 90 days of the close of the fiscal year. Failure to timely submit the annual audit may be considered grounds for nonrenewal of the establishment's license.