In our latest Gorfine, Schiller & Gardyn podcast interview, Aaron Bloom, Director of Tax Services at GSG, discusses the business and tax implications for emerging cannabis businesses in Maryland.
On July 1, 2023, the state of Maryland made it legal for state-licensed shops to sell recreational cannabis to consumers 21 years old and older. During the first week, sales of cannabis totaled more than $20 million dollars, and the Maryland Cannabis Administration projects $600 million of recreational marijuana sales during the first year of legalization.
This certainly means business opportunities for emerging Maryland cannabis businesses. However, there are some critical business and tax considerations. For example, the costs of entry are high, and certain traditional business expenses are not deductible. Those looking to launch their brick and mortar will have to consider a number of potential obstacles.
Here are the key highlights from this interview:
- A high-level overview of the new Maryland cannabis legislation. (:40)
- What dispensaries and growers need to know about entering this market. (4:15)
- Key tax considerations for emerging Maryland cannabis businesses. (7:39)
- Future considerations around the potential lowering of the barrier of entry for cannabis businesses. (10:10)
If you are launching a cannabis-business in Maryland and need accounting, tax and compliance support, please contact GSG here.Categories: Tax, Small Business