Legalization of recreational, adult-use marijuana in New York state has never been more likely. At the start of 2021, Governor Andrew Cuomo introduced his plan – The Cannabis Regulation and Tax Act (CRTA) – and positioned the tax benefits of legalization as a way to help offset pandemic-related deficits. In many ways, the CRTA conflicts with the Senate introduced Marijuana Regulation and Tax Act (MRTA), which addresses some political hot button issues, including the creation of a social equity fund and reducing criminal penalties for illegal sale of marijuana.
While we are still hearing some debate on how the state will get there, it seems as if it is only a matter of time before legislation passes to legalize recreational use – in fact, Governor Cuomo said earlier this week that New York was very close. However, for businesses looking to enter the burgeoning market in New York state, or simply those that will be impacted by it, questions remain.
Meaghan Feenan, an attorney on the Harris Beach Cannabis Industry Team and Morgan Hopkins, a CPA at DeJoy, Knauf and Blood LLP and the director of its Hemp & Cannabis Advisory Services, joined the podcast to help navigate those issues. Together they covered:
Expectations that legalized adult-use marijuana is part of the New York state budget
The effective tax rate under the CRTA/MRTA and what organizations need to understand about U.S. tax code 280e and its challenges
What do businesses that aren’t even in the cannabis space need to understand about legalization – such as addressing workplace policies?
Meaghan and Morgan will host a live webinar at 4 p.m. EST on April 6 to answer additional questions. Register for the webinar here.