Governor Polis advocates tax, banking measures for marijuana industry

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(AP Photo/Morgan Smith, File)

DENVER –  Governor Jared Polis sent a letter to U.S. Senate Majority Leader Chuck Schumer, Senator Cory Booker and Senator John Wyden on Friday, Aug. 27, asking Congress to examine taxation and banking measures for the marijuana industry.

As the federal government looks to legalize marijuana at the national level, Governor Polis believes that the SAFE Banking Act would be the financial infrastructure plan to work best with the government’s Cannabis Administration and Opportunity Act. 

Governor Polis wrote in his letter as follows:

“I am thrilled that you are bringing forward a long-term, comprehensive solution that reschedules cannabis while enhancing social equity pathways. I hope that you will first focus your efforts on the two biggest barriers to the success of the cannabis industry: banking and IRS Code Section 280E (280E). Legislation to address these issues has more bipartisan support than ever before and can be passed in the short-term as you continue to work on the details of the CAOA.”

The governor also encouraged the government to examine Colorado’s marijuana industry’s success.

“In 2020, legal cannabis generated $387 million in state tax revenue in Colorado, which funds education, health care, substance abuse prevention and treatment programs, law enforcement, research, and more. Establishing a national taxed and regulated legal cannabis system will allow the U.S. government to benefit from additional tax revenues, too, but it is critical that the tax level is not so cost prohibitive that it undermines the federal legal cannabis systems both already in place and being developed in emerging regulated cannabis states,” the letter reads. 

To read Governor Polis’s full letter, please click here.

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