Florida lawmakers have moved forward with two bills aimed at regulating hemp-derived THC products, setting up a taxation system, and establishing rules for sales.
The House Committee unanimously approved on April 16 two proposals that would strengthen regulations on hemp-derived THC products and introduce a 15% excise tax on their retail sales.
Although Florida legalized medical cannabis in 2016, recreational cannabis remains illegal in the state. However, hemp-derived THC products have become popular across Florida and in all U.S. states as an alternative to illegal recreational cannabis. Now, as these products exist in a legal gray area, lawmakers are looking to regulate them.
Florida’s Hemp THC Regulation And Taxation Plan
The first bill that aims to shape the hemp-derived THC industry in Florida, HB 7029, would require all retailers selling these products to register with the state’s Department of Agriculture and Consumer Services, known as DACS.
The plan includes a 15% excise tax on all hemp-derived THC products. The first $6 million raised would go straight to DACS, funding enforcement, and product testing through its General Inspection Trust Fund. Anything beyond that would flow into the state’s general fund.
The legislation doesn’t stop at taxes. It lays out how businesses should handle payments and filings. Retailers would also need to keep detailed records. DACS would have the authority to inspect and audit to ensure everything’s above board.
The bill also sets penalties for those who try to cut corners, especially when it comes to fraud. Every package would need a scannable code linking to key info like batch numbers, expiration dates, and how much THC or other cannabinoids are in each serving.
Estimates suggest this tax could bring in over $1.5 billion each year, based on numbers from 2022. But it wouldn’t kick in right away. The tax only takes effect on January 1, 2026, if HB 7027 or a similar bill also makes it through.
The second bill, HB 7027, takes indeed things further with tighter rules. It would limit sales to businesses that hold a food permit and block anyone under 21 from even entering those stores.
It also changes how the state defines ‘hemp extract,’ expanding it to cover anything with more than a trace amount of THC. The bill sets dosage limits for various product types, and by 2029, those limits would be cut in half.
Also, stores couldn’t sell these products near schools or at public events, and each customer would face daily purchase limits, depending on the type of product they’re buying.
Senate Vs. House: Diverging Approaches To Hemp-Derived THC Control
While the Florida House is working to regulate hemp-derived THC, the state Senate is taking a different approach.
The Senate approved a new set of rules targeting this fast-growing market last week.
The Senate bill, SB 438, would ban all Delta-8 THC products outright. It also puts strict caps on hemp-derived Delta-9 THC products, limiting it to five milligrams per serving or 50 milligrams per container. Hemp-infused drinks wouldn’t be exempt, as they’d be capped at five milligrams of THC per container and could only be sold in stores with a liquor license.
Testing would also be ramped up. Every final batch of hemp extract would have to be tested in a certified marijuana lab. The results would need to be verified and signed off by two lab employees before the product hits shelves.
A similar bill cleared the Senate with full support last year. But Governor Ron DeSantis vetoed it after pushback from the hemp industry.
Industry Pushes Back Over Tightening Hemp-Derived THC Regulations
While both House and Senate proposals aim to tighten control over hemp-derived THC products, the details split the two bills down different paths.
The House version doesn’t ban Delta-8 or other synthetic cannabinoids. The Senate bill does. The House proposal further includes a daily purchase cap of 100 milligrams of THC and blocks sales at public events, festivals, and convenience stores that allow anyone under 21.
The Senate proposal, however, takes a tougher line. It calls for a full ban on synthetics and tighter controls overall. Where the House leaves room for compromise, the Senate leans into strict regulation.
Industry voices have pushed back, especially against the daily cap and the broad packaging restrictions, as reported by Florida Phoenix.
Some even worry about the impact on CBD products that don’t cause a high, like Jodi James, president of the Florida Cannabis Action Network, as reported by Cannabis Business Time.
Nevertheless, the message from both the Florida House and Senate is that the wild they’re of hemp-derived THC in Florida may be coming to an end.
Florida wouldn’t be the first state to regulate hemp-derived THC products. Some states have already banned them, while others have placed restrictions.
In February, an Alabama senator introduced a bill to ban intoxicating hemp products like delta-8 THC.
States such as California, Colorado, and New York, where adult-use cannabis is legal, have fully banned delta-8 THC. On the other hand, Connecticut, Louisiana, and Maryland have chosen to regulate it. In other states, hemp-derived THC products remain legal but remain largely unregulated.
