Yesterday’s News — July 13, 2105
Syracuse dispensary will donate portion of profits to families in need
Citiva Medical, a company looking to open a cultivation center and dispensary in the Syracuse area, announced a plan to provide assistance to families in need of medical cannabis for children. Because the average monthly cost of medical marijuana is estimated to be $250, and because insurance won’t cover this expense, Citiva intends to donate 2% of its annual profits to those who qualify for financial support . The program is specifically designed to help families of 4 with an income of less than $121,250 who need cannabis to treat a child with intractable epilepsy.
Civil lawsuit forces Colorado dispensary to close
Safe Streets Alliance, and anti-crime group out of Washington, forced a Colorado business to close its doors by suing as many people associated with Medical Marijuana of the Rockies as possible. Because marijuana is federally illegal, Safe Streets Alliance believes that neighbors have a right to file suit based on the premise that close proximity to a cannabis business reduces property value. The case hasn’t gone to court yet, but enough businesses associated with Medical Marijuana agreed to sever ties in exchange for dismissal from the lawsuit that owner Jerry Olson was forced to sell off all his inventory well below market value and close his doors. Another similar lawsuit is pending, but the owners of that store, Alternative Holistic Healing, hope to continue with their plans to open a cultivation center in southern Colorado.
Huzzah! Another tax story!
It isn’t all fat stacks of easy cash for cannabis business owners, especially when it comes time to pay the tax-person. The Ninth Circuit Court of Appeals ruled in favor of the IRS in the case of Olive v. Commissioner, meaning that unlike every legitimate business in the country, cannabis dispensaries must pay taxes on 100% of their gross income rather than net profits after expenses. Because cannabis businesses, despite contributing large amounts of tax revenue to their state budgets, are not considered legitimate businesses by the Federal Government, they are not allowed to deduct any expenses related to the sale of cannabis or paraphernalia, driving profits down for business owners and costs up for consumers.
Oregon carry-on luggage 100% stankier (during in-state flights)
Since cannabis is recreationally legal in Oregon, Portland International Airport has decided you can now move freely about the state with your stash as long as you’re in accordance with the law. So pick your favorite one ounce out of the eight you’re allowed to have in your house and hop a flight from Portland to Eugene! Because you can!