New York senate passes bill to let cannabis businesses in New York city take local tax deductions prohibited under federal law
New York’s Senate has approved a bill that would provide tax relief to New York City cannabis businesses, reports Marijuana Moment, noting that, before the passing of the bill, those cannabis businesses were blocked from making federal deductions under an Internal Revenue Service (IRS) code known as 280E.
According to a summary, the bill would enable “a deduction for business expenses, incurred by taxpayers authorized by the Cannabis Law to engage in the sale, distribution, or production of adult-use cannabis products or medical cannabis, for purposes of the unincorporated business tax (UBT), the general corporation tax (GCT), and the corporate tax of 2015, commonly referred to as the business corporation tax (BCT).”
Maryland offers funds to help medical cannabis operators move into adult use
MJ Biz Daily reports that Maryland has launched an $80 million funding programme that will offer grants and loans to help existing medical cannabis companies move into the state’s impending adult-use cannabis market.
To be offered in two initial rounds, the funding will go towards helping with license conversion costs from medical to recreational and to help social equity licensees become operational.
Future funding will then be available “to Historically Black Colleges and Universities for cannabis-related programs; to businesses applying for licenses; and to business development organizations, including incubators,” the publication notes.
Illinois cannabis sales inch upward in may despite delta-8 thc regulatory hurdles
Benzinga reports that Illinois adult use cannabis sales experienced a minimal increase in May compared to April.
Noting that cannabis retailers sold $132.7 million worth of cannabis last month, just under a $1 million rise from April’s sales of $131.9 million, Benzinga goes onto highlight that, although May’s figures were lower than March’s peak of $134.7 million, they surpassed the sales in January and February.
This is despite disagreement over the regulation of delta-8 THC which has hindered cannabis industry reform efforts in Illinois. Benzinga highlights that a proposed cannabis industry reform bill that included provisions such as increased canopy space for craft growers, drive-thru windows at dispensaries, and extended time for social equity retail license holders to secure real estate failed due to disputes over regulating delta-8 THC.
