The Drug Enforcement Administration (DEA) is taking aggressive steps to ensure the Food and Drug Administration (FDA) plays an active role in upcoming cannabis rescheduling hearings. By requesting subpoenas for FDA officials, the DEA aims to fortify its position in a contentious debate that could reshape the nation’s cannabis policies.
A federal judge previously warned the DEA against introducing thousands of public comments as evidence, describing the tactic as potentially dilatory. Despite this, the agency appears undeterred, pushing ahead with its strategy.
IRS Issues Warning on Cannabis Tax Compliance
The Internal Revenue Service (IRS) has reminded marijuana businesses of the strict enforcement of Section 280E, a tax rule that prohibits deductions for businesses dealing in federally illegal substances. Cannabis companies, already burdened by this penalty, face scrutiny as the IRS flags attempts to sidestep the rule with “unreasonable rationales.” This warning underscores the financial strain marijuana businesses endure in the absence of federal legalization.
Section 280E, enacted during the 1980s to target drug dealers, now entangles state-licensed cannabis enterprises in a web of financial challenges. Companies argue that the rule unfairly hampers their ability to grow, while federal agencies continue to enforce it rigorously.
South Carolina Eyes Medical Cannabis Legalization
South Carolina could soon join the growing list of states embracing medical cannabis. Republican Senator Tom Davis has prefiled a bill for the 2025 session, advocating for its therapeutic benefits over opioids. Davis emphasized marijuana as a “less intrusive” alternative for managing pain, signaling bipartisan support for cannabis reform in conservative states.
Tennessee Poll Highlights Broad Support for Legalization
A recent poll revealed that 63% of Tennessee voters favor marijuana legalization, with support spanning across party lines. While Republicans traditionally resist cannabis reform, this poll reflects a shift in public sentiment, driven by the potential for economic growth and reduced opioid dependency.
Massachusetts Hits $7 Billion in Cannabis Sales
Massachusetts’ cannabis industry continues to thrive, with recreational marijuana sales surpassing $7 billion since the market’s inception in 2018. The state’s Cannabis Control Commission also reported near-record sales on “Green Wednesday,” the day before Thanksgiving—a significant shopping day in the cannabis calendar.
The state’s booming industry highlights the revenue potential of legal cannabis markets, prompting other states to take notice. Massachusetts’ success offers a roadmap for balancing regulation with economic opportunity.
Medical Marijuana Shows Promise for Pediatric Care
A scientific review on medical marijuana for pediatric patients unveiled promising findings. Conditions such as cancer, autism spectrum disorder, treatment-resistant epilepsy, and Sturge-Weber syndrome showed improved quality-of-life symptoms. While more research is needed, the findings could expand the scope of medical cannabis programs nationwide.
Key Findings of the Study:
- Positive effects were observed across multiple conditions.
- Quality-of-life improvements were most notable in treatment-resistant cases.
- The study emphasizes the importance of regulated access to medical cannabis.
Nebraska Governor Certifies Ballot Initiatives, Raises Concerns
Nebraska Governor Jim Pillen certified two medical cannabis legalization initiatives approved by voters, but he expressed reservations about their compliance with federal law and the state constitution. This move underscores the ongoing tension between state-level cannabis reforms and federal prohibition.
Illinois Targets Hemp Product Regulation
Illinois Governor J.B. Pritzker has called for tighter regulations on intoxicating hemp products. Proposed measures include taxation, testing requirements, and restrictions on child-friendly packaging. This push reflects concerns over the rising popularity of hemp-derived cannabinoids that mimic the effects of THC.
New York’s Push to Support Equity Businesses
New York Assembly Majority Leader Crystal Peoples-Stokes has proposed financial assistance for struggling social equity marijuana businesses. She criticized the high-interest loans that have burdened many minority-owned cannabis startups. Advocates argue that robust support for equity businesses is essential to ensuring the industry’s inclusivity.
New Jersey Approves Social Equity Fee Increase
The New Jersey Cannabis Regulatory Commission has doubled social equity fees, with proceeds reinvested into communities disproportionately affected by cannabis criminalization. The move comes alongside the approval of cannabis consumption lounge applications, signaling a broader push to integrate cannabis into the state’s economy.
Tennessee Judge to Hear Arguments on Hemp Product Restrictions
A Tennessee court will soon decide the fate of new rules targeting intoxicating hemp-derived products. The hemp industry has sought an injunction to prevent the regulations from taking effect, arguing they threaten the viability of a growing sector.
Table: Cannabis Policy Updates Across States
| State | Key Update |
|---|---|
| South Carolina | Prefiled medical cannabis legalization bill for 2025. |
| Tennessee | 63% of voters support legalization; hemp product regulations face challenges. |
| Massachusetts | $7 billion in recreational cannabis sales; near-record “Green Wednesday” sales. |
| Nebraska | Governor certifies medical cannabis initiatives but raises legal concerns. |
| Illinois | Proposes restrictions on intoxicating hemp products. |
| New York | Push for financial assistance to social equity businesses. |
Federal Developments
At the federal level, cannabis policy continues to generate debate:
- White House Press Secretary Karine Jean-Pierre highlighted President Biden’s marijuana pardons as a significant step in criminal justice reform.
- Sen. Peter Welch (D-VT) reiterated his support for rescheduling cannabis and advancing banking legislation.
- Rep. French Hill (R-AR) was named chair of the House Financial Services Committee, a key position for marijuana banking reform.
The cannabis landscape remains dynamic, with states forging ahead despite federal uncertainty. From rescheduling efforts to tax compliance warnings and groundbreaking sales figures, marijuana policy continues to dominate headlines nationwide.
