The federal prohibition of cannabis makes payment processing more complicated than in traditional retail industries. This is because financial service providers are reluctant to work with marijuana businesses, even in states where cannabis is legal, for fear of federal reprisals. The consequences of this for cannabis retailers are significant. Consumers generally prefer to pay by
A bipartisan group of senators sent a letter urging Senate leadership to retain provisions in a national defense spending bill which would shield banks that provide services to state-legal cannabis businesses from federal interference. The bill – the National Defense Authorization Act (NDAA) – was passed by the House in September and included provisions from
A top Internal Revenue Services (IRS) official said the agency’s job would be a lot easier if banks could offer their services to state-legal marijuana businesses without fear of federal reprisals. Susan Collins, who serves as senior counsel in the IRS Office of Chief Counsel, made the comments during an event organized by UCLA’s Annual
Senate Majority Leader Chuck Schumer said he and the two other senators behind a bill to federally legalize cannabis have an “agreement” in place not to advance marijuana banking legislation until they’ve passed their more substantive reform proposal. Schumer, alongside Senate Finance Committee Chairman Ron Wyden (D-OR) and Sen. Cory Booker (D-NJ), is one of
The Internal Revenue Service (IRS) published a blog post providing advice to state-legal marijuana businesses on how to stay compliant with tax rules, given cannabis’s Schedule I controlled status at the federal level. The IRS’s De Lon Harris wrote that the rapid growth and expansion of the cannabis industry had created a complex situation with
The governor of Colorado wrote a letter to the senators behind a bill to federally legalize cannabis asking they first prioritize marijuana banking and tax reforms, in order to safeguard the interests of state-legal markets and businesses. Gov. Jared Polis (D) made clear he supports the Cannabis Administration and Opportunity Act (CAOA), sponsored by Senate
Cannabis and crypto were the topic of the day at a recent seminar hosted by the Internal Revenue Service (IRS). Led by a representative of the National Association of Tax Professionals (NATP), the seminar discussed an array of issues, including the different approaches states have taken to regulate cannabis and what kind of deductions are
Cannabis is becoming a more prevalent commodity in the U.S., and more and more businesses are applying for state licenses with hopes to open their gates. Entrepreneurs looking to create new ideas and find a specific niche have plenty of opportunity as more states began to regulate cannabis. But it won’t be an easy road
Credit cards have become a commonly accepted payment in the U.S. and around the world, and your cannabis business has much to gain from making this available to your customers. Research on consumer payment preferences by BAI Research and Hitachi Consulting found that 41 percent of shoppers have reduced the amount of cash they use,
