by Gary Miller
In a move that grants New York-based cannabis operators an advantage over similar companies in other states, New York lawmakers have approved language in a bill that allows the operators to deduct ordinary business expenses on their state taxes.
The agreement between lawmakers and Gov. Kathy Hochul (D) gives the state’s cannabis businesses the ability to operate like companies in other industries, which do not face the same barriers as those in the cannabis industry. Based on the state’s Fiscal Year 2023 budget, the tax break is set to apply to taxable years beginning on and after Jan. 1, 2022.
Cannabis’ status as a federally illegal Schedule I substance prevents cannabis-related businesses from deducting business expenses on their federal returns under Section 280E of the Internal Revenue Code. According to MarketWatch, lawmakers claimed that the Section 280E exemption “has impacted legal cannabis companies, including small and medium sized businesses.”
Those in support of the change hope to see the jurisdiction’s cannabis companies experience a much-needed financial boost after many years of dealing with bureaucratic red tape that has made it difficult to profit from the industry.
Some other states have also begun exploring ways to assist cannabis companies in the midst of legal gray areas. For example, California lawmakers introduced a bill in March that would allow cannabis operators to receive a tax credit in the amount equal to certain business expenses, including employment compensation, safety training, and more.
By aiding legal cannabis businesses, proponents of this kind of legislation believe the illicit market will begin to deteriorate.
Let me tell you about these tax deductions….the US canabis industry is on the Titanic. Regulations and the myriad of taxes from special districts, city, county, state and soon federal will crush the business. Taxes on weed are only going up. Tax codes are a joke. I live in Mexico, and let me list why they are going to crush the US market.
First of all there is NO personal income tax. Well water is free. People here make 20$ a day not $20 an hour. There is no unemployment insurance. There is no property insurance. There are no slip and fall lawyers. Taxes here are reasonable and way less than the US. You can grow weed all year. Land is cheaper. I own land in Mexico and my taxes are 150 dollars a year. What are property costs in california? Overpriced America is just that. America cannot compete in many areas of commerce and weed is one.
The Coronavirus has been around for a few years. During this time, researchers conducted studies on a wide range of topics. A 2022 study published in the Journal of Cannabis Research explored cannabis consumption and COVID-19. Researchers found that those who consume cannabis were associated with lower COVID-19 severity among those who have been hospitalized,…
Stoner stigma and stereotypes are not just discriminatory—they are also outdated and are now being rendered invalid. Cannabis consumers, whatever their reason for consumption, are subject to being stereotyped as “lazy stoners.” Fortunately, a recent study found that cannabis consumers are no more likely to lack motivation compared to those who do not consume cannabis. …
The history of cannabis prohibition is plagued by propaganda, racism, and greed. If you’re familiar with this story, it’s likely you’re familiar with a man by the name of Harry J. Anslinger. This individual was highly influential in the implementation of cannabis prohibition in the early 20th century. Since federal prohibition was implemented, it has…
Gilbert Anthony Milam Jr., American rap artist and founder/CEO of the cannabis brands Cookies and VIBES Papers, is celebrating the launch of his new Cookies store in Thailand. Gilbert, whose stage name is Berner, described the Southeast Asian nation’s first cannabis store opening as “a huge step into the global market.” Berner, who has released…
Have you wondered what the best cannabis subscription boxes are on the market today? If so, you’re not alone. Many consumers wonder which monthly box is actually worth the money, and what you can look forward to in the mail each month. There are many different types of boxes out there. Most of them only…
Is there anything that cannabis cannot do? As more research is conducted, the list of health benefits grows. One recent discovery indicates…
Question: I live in a state with legal cannabis and started shopping at my local dispensary a few times a month. I’m grateful…
Chicken soup for the soul? Well, if it’s infused with cannabis, it’s going to do more than soothe the soul! Whether you…
