Connecticut lawmakers have sent a budget bill to the governor that includes provisions to provide state-level tax relief to licensed marijuana businesses that are currently prohibited for making federal deductions under an Internal Revenue Service (IRS) code known as 280E.
A separate cannabis omnibus bill was also transmitted to Gov. Ned Lamont (D) this week that contains a number of reforms, including the establishment of off-site event permits for marijuana retailers, restricting intoxicating hemp-derived products and creating a new Office of the Cannabis Ombudsman.
Under provisions of the budget legislation, licensed cannabis businesses in the state would be able to deduct “the amount of ordinary and necessary expenses that would be eligible to be claimed as a deduction for federal income purposes…but that are disallowed under Section 280E of the Internal Revenue Code because marijuana is a controlled substance under the federal Controlled Substance Act.”
That measure also contains provisions on appropriations for cannabis social equity, substance misuse prevention and regulation funds. And it further repeals a tax credit for marijuana “angel investors” who financially support new cannabis businesses—a policy change proposed by the governor earlier this year.
Lamont applauded the legislature’s passage of the overall bill and announced on
Read full article on Marijuana Moment
