The bill amends the Revised Code to establish a comprehensive regulatory framework for the sale, taxation, and enforcement of intoxicating hemp products and drinkable cannabinoid products in Ohio. It prohibits the sale of these products outside licensed dispensaries and introduces new definitions, such as "vapor products" and "processed hemp flower," to clarify the scope of regulation. The bill also modifies existing tax provisions to align with the new regulations, imposing a ten percent tax on dispensary receipts and specific excise taxes for manufacturers. Additionally, it sets forth requirements for licensing, including background checks and annual inspections, while ensuring that only individuals aged 21 and older can purchase intoxicating hemp products.

Furthermore, the legislation enhances the enforcement capabilities of the Department of Public Safety and the Department of Commerce, allowing for stricter compliance with regulations governing hemp and cannabinoid products. It introduces penalties for non-compliance, including immediate tax liabilities upon business cessation and the authority for the tax commissioner to audit sales records. The bill also addresses the conduct of tax return preparers, establishing definitions and prohibitions to prevent misconduct. Overall, the legislation aims to create a structured and accountable market for hemp-derived products while ensuring public safety and compliance with state laws.

Statutes affected:
As Introduced: 131.02, 715.013, 928.01, 928.03, 4506.01, 5502.01, 5502.13, 5502.14, 5703.052, 5703.053, 5703.19, 5703.263, 5703.50, 5703.70, 5703.77
As Reported By Senate Committee: 131.02, 715.013, 928.01, 928.03, 4506.01, 5502.01, 5502.13, 5502.14, 5703.052, 5703.053, 5703.19, 5703.263, 5703.50, 5703.70, 5703.77
As Passed By Senate: 131.02, 715.013, 928.01, 928.03, 4506.01, 5502.01, 5502.13, 5502.14, 5703.052, 5703.053, 5703.19, 5703.263, 5703.50, 5703.70, 5703.77