Welcome back to The Week in Weed, your Friday look at what’s happening in the world of legalized marijuana. This week, we look at a new proposal that would prevent cannabis companies from deducting business expenses, even if rescheduling happens. There’s a new pick for DEA Head. It looks like Hawai’i will not be legalizing... Continue Reading
Welcome back to The Week in Weed, your Friday look at what’s happening in the world of legalized marijuana. This week, we look at a new proposal that would prevent cannabis companies from deducting business expenses, even if rescheduling happens. There’s a new pick for DEA Head. It looks like Hawai’i will not be legalizing this year. And finally, we’ve got a Valentine’s Day gift suggestion.
SECTION 208E
As we all know, cannabis companies cannot deduct their business expenses from their federal taxes, as their business is not legal under federal law. One of the reasons that the industry would really like cannabis to move from Schedule I to Schedule III is to change that. Not everyone shares this view, however. Senators James Lankford (R-OK) and Pete Ricketts (R-NE) have introduced a bill that would prevent cannabis businesses from taking the deduction, even if rescheduling does happen. It’s unclear if Congress will devote any more energy into passing this legislation than they have to any other cannabis bill.
DEA ADMINISTRATOR
Speaking of rescheduling, the new administration has chosen a permanent head of the Drug Enforcement Administration (DEA). Terrance Cole, currently Virginia’s Secretary of Public Safety and Homeland Security, is not exactly a legalization fan, based on his LinkedIn post from last year, which used the hashtag #justsayno. So, the 280E bill may not be necessary…
HAWAI’I
Coming into 2025, all eyes were on Hawai’i and Pennsylvania as the states with the best chance to legalize. Well, not even two months in, it looks like it’s all up to you, Pennsylvania. The Hawai’i House of Representatives returned a legalization bill to committee, which means it’s very unlikely to move forward. A Senate bill remains alive, but in previous years, the House has been where legalization bills go to die, so cannabis supporters are not hopeful.
AND FINALLY
It’s Valentine’s Day people – have you purchased something for that special someone? If not, have you considered cannabis-infused chocolates? Sure, gummies get all the attention most of the time, but February is all about chocolate! Although only a small part of the edibles market now, manufacturers are hoping chocolates could get more consumer attention and give gummies a run for their money.
Be well everyone, and we’ll see you next week.
