The Federal Government’s Recent Pivot Toward Cannabis Legalization Will Propel the Industry to new Heights
The cannabis industry has the potential to change forever as a result of House leaders’ recent proposal to significantly alter federal laws pertaining to marijuana. If you are a cannabis investor or considering investing in the cannabis industry, this development is fantastic news. Let’s take a closer look at what the changes to the federal marijuana legalization bill means for investors.
The Latest Update on Marijuana Legalization
The federal marijuana legalization bill set for a floor vote is proving quite dynamic. House leaders have proposed changes to this legalization bill, a development that bodes well for those invested in cannabis. A midweek hearing was scheduled to advance the bill to legalize cannabis on the federal level to the floor for a vote.
Chamber leaders proposed an amendment that would make numerous alterations to the legislation. Tax-related provisions are some of the more meaningful revisions. The legislation in question is officially known as the Marijuana Opportunity, Reinvestment and Expungement Act or MORE for short.
The lead sponsor of the aforementioned bill, Jerrold Nadler (D-NY), sent the legislation to Rules with several alterations. Aside from the tax modifications, the new language cements the Food and Drug Administration’s (FDA) regulatory authority.
Additional changes included in Nadler’s revision require the United States Department of Health and Human Services and the FDA to hold meetings pertaining to the “regulation, safety, manufacturing, product quality, marketing, labeling, and sale of products containing cannabis or cannabis-derived compounds” in the year following the enactment of the bill. Furthermore, additional House members are poised to file proposed amendments to boot. The Rules panel will ultimately determine which amendments will be processed for a floor vote.
A Closer Look at the Modifications
The altered MORE Act provisions state cannabis will be taxed at a 5% clip across the first couple years then hiked by 1% per year until it hits 8%. At the five-year mark, taxes tacked onto cannabis products will be determined by weight as opposed to price. It is also important to note the MORE Act deschedules cannabis from the Controlled Substances Act on the federal level. A Cannabis Justice Office overseen by the Justice Department would distribute financing to fund cannabis operations, making it easier for small businesses to obtain the licensing necessary to legally sell cannabis.
It is also interesting to note House leaders seek to amend the bill to include language stating funding will go to “services to address any collateral consequences that individuals or communities face as a result of the War on Drugs.” In other words, mainstream politicians have dramatically changed the manner in which they view cannabis and those who enjoy using it. This is a clear sign to investors that members from both sides of the political aisle are willing to move forward with the legalization of recreational cannabis.
Of particular importance is the fact that Vice President-elect, Kamala Harris, is on board with the legislation. The Democrat Senator from California is the lead sponsor of the Senate’s version of the MORE legislation. Even if the legislation does not pass through both the House and the Senate, a close vote makes it clear to the incoming Biden administration that there is a growing push to legalize cannabis on the federal level.
Furthermore, a majority of those living in the United States favor the policy change. Add in the fact that President-elect Biden has admitted his prior work to pass punitive anti-drug laws while in Congress was a mistake and the stage appears to be set for cannabis legalization on the federal level.
You can Profit From Cannabis use Becoming Socially Normative
It is becoming increasingly clear with each passing day that cannabis is going mainstream. The mere fact that members of Congress are debating the nuances of cannabis legalization is a bullish sign for the cannabis industry. If you have not yet invested in cannabis or if you would like to add to your current cannabis investment positions, the time to do so is now. The eVest Marketplace makes it easy to invest in the cannabis and hemp industries. This marketplace is your go-to platform for lucrative alternative investments.
Check out the many different cannabis investing opportunities on the eVest Marketplace and you will find there are numerous ways to make money from this burgeoning industry. Get in on the cannabis industry in its infancy and there is a good chance you will gleefully watch your investment grow in the months and years ahead. Seize the opportunity to invest in cannabis through the eVest Marketplace and you will agree this opportunity to obtain a stake in alternative investments is just as lucrative or even more profitable than those available through the traditional stock market.