This landmark Colorado bill could be big for marijuana stocks
However, a benchmark bill that was passed in the Colorado Senate last week by a landslide 35-0 vote looks to put an end to one of the industry’s greatest recreational pot uncertainties (at least within Colorado).
The bill (HB17-1221), known as the Grey and Black Market Marijuana Enforcement Efforts, will make it illegal for marijuana growing cooperatives to exist in Colorado. In co-ops, one individual is designated as the farmer while users share in the costs of electricity, water, and fertilizer needed to grow marijuana. This is allowed in Colorado, as the law’s language allows adults over the age of 21 to assist someone else in growing pot.
Growing recreational cannabis as a cooperative makes it far less costly since only the individual farmer designated to grow pays tax, allowing some Coloradans to avoid up to a 30% retail tax on pot, depending on the jurisdiction. Lawmakers viewed this loophole as just another way for the black market to thrive, and believe this bill to outlaw co-ops will close that loophole.
This bill also provides nearly $6 million a year of marijuana tax revenue to law enforcement agencies, which will be used to investigate illegal growing operations within the state.
Exposing recreational marijuana law loopholes
CHICOPEE, Mass. (WWLP) – Recreational marijuana is legal in Massachusetts. Adults can grow and smoke pot, but they won’t be able to legally buy it until retail stores open in 2018. So how are people getting recreational marijuana?
The 22News I-Team discovered there’s a provision in the current law that allows gifting of certain amounts of marijuana, without an exchange of money. We found several entrepreneurs who are taking advantage of that provision, by offering “marijuana gifts” to customers who purchase items such as t-shirts and empty sandwich bags.
CHICOPEE, Mass. (WWLP) – Massachusetts voters approved legal recreational marijuana last year, but only parts of the law have been implemented.
It’s been five months since marijuana was legalized in Massachusetts, but still some residents say the terms of the law haven’t been made clear.
D’Angelo Sanchez of Springfield told 22News, “There is some question about it. I know you’re allowed to carry a gram, or is it an ounce, I’m not too sure, but you can see the confusion there.”
A legislative committee has been created to review and make changes to the state’s new recreational marijuana law, but still some residents believe the state should have held off on passing the law until there was more structure to the law.