Cannabis and the COVID-19 Pandemic
Internal Revenue Service (IRS) is holding an event in Washington, D. this Thursday, April 28th, 2017, which explores the possibility of legalizing marijuana and cryptocurrencies. The event, which includes a panel of experts and a reception, is being organized to inform the public about the potential for taxation of cryptocurrencies, to discuss the potential of tax inversions for cryptocurrencies and to discuss a variety of other topics.
The event is being held at the IRS headquarters on Constitution Avenue NW, but there will be a limited number of special access tickets available to those that can be purchased at the event.
A number of special events are being held at the IRS headquarters around the world in 2017, including an event that is scheduled for the end of the month, March 31st, 2017, organized by the National Taxpayer Advocate to discuss the possibility of eliminating or reducing the tax on Bitcoin, the second largest digital currency after Ethereum.
The event is led by tax policy counsel for the United States and will involve government agencies from the IRS, IRS-CIO, IRS-CIO-INTC, US Taxpayer Advocate, Treasury Department, IRS Enforcement and the Bureau of the Fiscal Office, and other tax authorities and law enforcement organizations from the IRS Office of Inspector General, Treasury Inspector General for Tax Administration, the Office of National Drug Control Policy, the Central Intelligence Agency, Office of the Comptroller General, and other government entities.
The panel for the event will include David Cole, the former IRS commissioner, Treasury Department tax director, and attorney for the IRS Office of Chief Counsel; Tim Geithner, former U. Secretary of the Treasury and Treasury Secretary; Mike German, a former Treasury Department tax official and tax manager; Stephen Engle, an attorney for the IRS; Mark Geister, a tax attorney and founder of Geister Law; and Andrew J. Maloney, president of the National Taxpayer Advocate.
In multiple states, cannabis sales spiked during the COVID-19 pandemic.
Cannabis sales were up 10 times since COVID-19 started, but a number of cannabis companies were affected. The spike includes cannabis retailers in Nevada, California and Canada, which may have to cut back on products to compensate.
The cannabis industry is now back with a bang, with cannabis retailers all over the world reporting record sales during the COVID-19 period, says the latest report of the industry’s Global Cannabis Benchmarking Report. In multiple states, cannabis sales spiked during the COVID-19 pandemic; the report notes that two states—Nevada and Utah—are on track to exceed the annual average cannabis retail sales.
But despite the surge in cannabis sales due to COVID-19, cannabis companies affected by the pandemic are now fighting back, raising concerns about the impact on the industry’s future.
In one example, Canopy Growth, the world’s largest medical cannabis company, is worried about the effects of the coronavirus on their business. According to a report in Bloomberg Industries, Cannabis-related revenue at Canopy Growth declined by 8% from April 10 to May 20. Their largest revenue drop since the COVID-19 pandemic was in April, when a 6% decline was reported in April and a 2% decline in March. Now, it’s a 5% drop in May.
In another example, British cannabis-focused firm Aurora Cannabis is affected by the coronavirus, as well. Its latest report details the decline in global revenue from cannabis-related businesses due to COVID-19. By the end of the period, their revenues were down by almost 20% from April 10 to May 20. As of March 31, cannabis revenue in the U. was down by 7. 3% overall from the same period a year ago, with a decline of 5. 5% in revenue in the U. in the first quarter of 2020.
Cannabis-related revenue in the U. dropped by more than 2%, with the declines concentrated especially in states like California, Nevada and Texas, according to the report.
The sales volume of cannabis products including oil, edibles, and concentrates have surged due to the government’s “ramping up” of sales. The market is likely to grow significantly over the next few years because the new tax and regulations are expected to boost the number of legal dispensaries available for consumers to buy cannabis. The market may be worth over $100 million dollars by the end of 2016. With so many people turning to legal and regulated cannabis, this revenue flow has been a big driver of cryptocurrency industry growth. The cannabis business has changed drastically over the past five years due to the legalization of medical use of cannabis. The market for cannabis has evolved from an underground alternative for medical users to a mainstream product. The legalization of “Cannabis for medical use” in states like Colorado and Washington has created a market of medical cannabis users that have been purchasing legally grown cannabis from dispensaries to support them and the community. Cannabis use has increased significantly in the US since 2010 and has reached over 40 million individuals as of April 2017. The government has set up its own regulatory structure and enforcement. The cannabis distribution sector is one of the largest in the United States and has grown steadily. In 2014 there were around 5,000 dispensaries in a US state that had licensed cannabis for medical and recreational use. Currently there are over 150,000 cannabis stores that allow consumers to purchase cannabis products and cannabis and hash oil. The distribution industry is growing, the regulations and enforcement are very strict, and the overall revenue flow to dispensaries has increased drastically. The government recently took enforcement action against the sale of marijuana edibles in states where the law has not yet been enacted. This was in response to public health concerns. It’s expected that the increased sales will eventually translate to the cannabis market reaching over $100 million dollars by the end of 2016. This influx of dollars will be split between the distributors, growers, and the government-regulated dispensaries. The cannabis industry will undoubtedly be affected by the new regulatory structure. The new laws and the strict enforcement has created a market that has been open for just about eight years. This has been driven by the medical use of cannabis. In an effort to stop the spread of COVID-19, the government has stepped up enforcement to combat the spread of the virus.
Millions in medical marijuana sales?
Medical marijuana is legal in 14 states, including New York. Some patients now enjoy a marijuana-based treatment for their opioid or other severe conditions.
The recent news that marijuana is coming for medical purposes in every U. state is good news for some of these conditions. It is less so for others.
What is more, a growing medical marijuana industry could create incentives for states to allow recreational sales, which could mean more money for health care professionals and patients, and for policymakers.
Marijuana is increasingly available, especially in legal states. But the cannabis industry has grown because of the medical use of the drug.
Marijuana, unlike most other drugs, cannot be produced by the government or extracted in the United States.
Marijuana can be produced by anyone. It is cheaper when it is produced domestically. Patients have used the drug for years. Many are now using it to treat severe pain.
The legalization of marijuana is good news for consumers and medical cannabis providers.
Many of the patients and providers are not involved in the production and distribution of marijuana.
Legal marijuana sales are expected to lead to increased revenues for the marijuana industry, helping those businesses that provide services.
But legal marijuana sales raise important policy questions.
Tips of the Day in Cryptocurrency
Cryptocurrency prices have continued to fluctuate this week, and we’re taking a look at the top cryptocurrencies to see what is going on in the market. Here’s a look at the top cryptocurrencies on the cryptocurrency charts for the week ending January 29th.
Bitcoin continues to inch higher, and it also appears as if the gains will continue. It looks like the price is finding support at the same price level as it did earlier this week, below $10,000.
This week’s increase is the price’s largest price increase since it crashed through $700 in 2017.
The price of $9,000 saw a big rally, and all prices are now showing signs of a consolidation.
Looking at Bitcoin’s trend, we’re seeing that the Bitcoin price appears to be retracing a portion of its gains in the past few months. We’d suggest that the current price level may actually be a consolidation level, as long as the prices aren’t breaking back to $10,000.