Federal changes would assist states with legal cannabis markets to protect public safety and support legal cannabis businesses
 
January 13, 2024 - OAKLAND — California Attorney General Rob Bonta on Friday joined a multistate coalition of 12 attorneys general in sending a letter expressing support for the federal government’s efforts to evaluate and reschedule cannabis to allow for federal recognition of its medical and research value. The letter requests that the Drug Enforcement Agency (DEA) reclassify cannabis from a Schedule I controlled substance, which is reserved for substances with no accepted medical use and those considered highly addictive, to a Schedule III controlled substance, which recognizes its legitimate medical use and lower potential for abuse. This change would allow cannabis businesses in the 38 states with legal cannabis programs, including California, to take certain federal tax exemptions, and would allow for broader testing on the safety and efficacy of medical cannabis.
 
“Dozens of states have now either legalized cannabis or allowed for its medical use. It is high time the federal government reschedule this controlled substance to allow for medical use, open avenues for research opportunities, and provide legitimate businesses with recognition by the IRS,” said Attorney General Bonta. “Currently the federal government’s classification considers cannabis as equally dangerous and addictive as heroin or ecstasy; this is simply not the reality. There is ample evidence and data to support that cannabis has legitimate medical uses, and its current classification creates barriers for states that have legalized its use and regulated sale. I commend the Biden Administration for their efforts to request this evaluation and urge the DEA to approve this change to allow legitimate cannabis businesses to thrive and states to better protect the legal market.”
 
In the letter, the attorneys general urge the federal government to make this important change as its impacts will assist the states in administering their own legal programs by:

• Lowering the tax burden for legitimate cannabis and cannabis-related businesses by authorizing them to take IRS deductions.
• Providing cannabis users with fewer barriers to obtain public housing, immigrant and nonimmigrant visas, and legally possess firearms.
• Supporting states with legal cannabis markets to better help businesses and protect public safety by disincentivizing the illicit cannabis market.   

A copy of the letter can be found here.  
Source: CA. DOJ  Marijuana photo  Credit: NIDA