I’ll tell you, after reading what’s being said out on the web/internet, I’d be amazed if 1 in 10 really know what’s going on. There is a lot, and I mean a lot of misinformed, followed by misinformation, pumping, hype and just plain BS that seems to have taken control.
It started a few weeks back with the request of the HHS to Schedule I to Schedule III. In order to reschedule, HHS must evaluate the drug through the U.S. Food and Drug Administration (FDA) and report findings to the Attorney General based on scientific and medical considerations. The DEA will also do its own research as well. If and when those two align marijuana moves to Schedule III, Internal Revenue Code 280E (IRC 280E) would no longer apply to marijuana businesses. {note read better tax break}.
But let’s go there right now. If its goods sch 3, you will still need s prescription for use. It will still be illegal “In other words, approving a pill containing marijuana derivatives does nothing to change the legality of edibles or joints. State-legal marijuana programs will still exist, but rescheduling will not make them legal”
Currently 38 states, or there abouts allow MJ in some from, but only 23 states allow it out right.
The positives - The industry’s hated 280E tax will eventually go away. That will boost margins and make cannabis companies instantly more profitable.
It’s likely it’ll be replaced by an excise tax, as the federal government won’t want to leave all that money on the table.
And that’s fine but what we need and what the President has said is we need all that to be DE scheduled.
Grab a snickers on that.
SAFE. Yes, the committee will be having a vote next week, no, the votes isn’t to pass SAFE, what it does is if passed by committee they will then bring it to the senate floor for a vote, currently they are 18 votes short of passing, but that can change if they get to the vote, from there, if passed it goes the House, if passed there it goes to the President.
Nothing above makes it legal, fed wise, and when it does become fed legal it still may be illegal in whatever state you’re in, it will not change state laws.
Also, of note when it does become fed legal, I fully expect the Canada large weed companies to flood over the border has they have stated for several years now they will do, and take a lot of lunch money away from the smaller base, and they will either cherry pick locations, or perhaps do some buy outs along the way.
And finally, this will not in any way slow down the black market which, depending on what numbers you use, control 40 to 60 percent of the MJ trade. In fact, it will help them.
Everybody looks for their own insight into all this, mine is how far and how long will congress take, and what will the FDA do with policy and procedures and for that matter rules that all will follow.
As I said a lot of misinformation out there, the best one so far is after the committee vote if passed, will allow all MJ companies to up list right away.
Amazing to me, it pays to do a little DD to resolve this talk, so you truly know what your are investing in. IMO
