SAN FRANCISCO (KRON) -- Governor Gavin Newsom signed a bill Monday reducing California's cannabis tax from 19% to 15%, effective until 2028.

The tax reduction aims to support the legal cannabis market by making regulated products more competitive against illegal sources.

"It's over regulated and over-taxed. Both of those things lead to higher prices for consumers," said Erich Pearson, CEO of Sparc, which operates seven dispensaries in the Bay Area.

Zoe Schriber, Vice President of Policy for the California Cannabis Industry Association, noted that about 60 percent of cannabis consumers in California buy from illegal sources.

"Certainly it is a win," said Amy O’Gorman-Jenkins, Executive Director of the California Cannabis Operators Association, who supports further tax reductions.

The t

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