Congress is currently in the middle of a tax overhaul push. To be upfront and clear, I do not support the tax proposal. I think that the math is clear that it will overwhelmingly benefit the richest of rich people, and at the expense of the rest of Americans. The United States House of Representatives has already passed their version of a tax bill, and the Senate is looking like it’s getting closer to a vote of its version of a tax bill with every passing minute.
There is one silver lining in the tax bill that is worth supporting, even if you are like me and you don’t support the overall tax plan. Colorado Senator Cory Gardner has introduced an amendment that alleviates the 280E tax penalty in the federal tax code. 280E reform is one of the biggest things that needs to happen for the sake of the future of the cannabis industry and the customers it serves.
Activists have been pushing for 280E reform for a long time now, and if, IF this tax bill passes, getting 280E reform out of it would make it a little bit less of a bitter pill to swallow. Regardless of if the tax bill passes or not, Senator Gardner’s introduction of the 280E amendment is still significant, as it provides a tremendous opportunity to call members of Congress and educate them on the benefits of 280E reform, as well as the issues that would continue to occur if 280E remains in place.
I have already contacted my members of Congress and urged them to support 280E reform (both today and previously), which was an easy sell because most of Oregon’s Congressional delegation is the most cannabis-friendly group you will find in Congress. Below is a message that was sent out by the National Cannabis Industry Association earlier today which includes talking points and action tools to help you contact your members of Congress and help educate them about 280E reform:
The U.S. Senate is currently debating the tax reform bill over the next two days and it is imperative that they hear from you in support of IRC section 280E tax reform.
Senator Cory Gardner (R-CO) has introduced an amendment that alleviates the 280E tax penalty which disallows business expenses for cannabis operators. To help this amendment succeed, Senators need to hear from you!
The following paper from NCIA’s Policy Council explains how this tax penalty unduly burdens legal cannabis businesses:
“IRC Section 280E: An Unjust Burden on State-Legal Cannabis Businesses”
Please contact your two U.S. Senators HERE and ask them to support the Gardner amendment addressing 280E. NCIA has been working on this issue and educating Congressional offices for years. Help us amplify our work by calling today!
Thank you for standing up for fair treatment of the cannabis industry.