Can't Bank On The Weed Money

Discussion in 'The Okie Corral' started by FullClip, Jan 14, 2020 at 10:20 AM.

  1. FullClip

    FullClip Native Mainiac CLM

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    One thing that is proving to be an issue here with Maine coming close to opening the doors of recreational marijuana stores is that due to federal laws banks can't handle the money. There must be some way around it as other states are allowing the sales to go through. But it does bring up the question of things like using proceeds derived from the sales to pay off debts at banks, such as mortgages and car loans. I think here in Maine, the state worries more about making sure they have records to make sure they get their tax money from the sellers. I also wonder how the Federal IRS is gonna' deal with the income tax due from the growers and sellers, payroll taxes and such.

    https://www.wabi.tv/content/news/Ma...insurance-access-lawmaker-says-566970651.html

    Maine cannabis needs bank, insurance access, lawmaker says

    PARIS, Maine (AP) A Maine legislator is calling on the state's legislative body to push the U.S. Congress to make banking and insurance accessible to legalized cannabis businesses.

    Republican Rep. John Andrews of Paris says he intends to introduce a resolution to the Maine Legislature on Tuesday calling for Congress to make the moves.

    He says many legal cannabis businesses operate mostly with cash and with no insurance because of federal regulations.

    A copy of the resolution is expected to go to President Donald Trump, Speaker of the House Nancy Pelosi and each member of Maine's delegation.
     
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  2. Von Hayes

    Von Hayes

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    What kinda yard ya got?

    I got a hammock tent
     
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  3. FullClip

    FullClip Native Mainiac CLM

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    Ha-Ha...you can stay at the camp. No running water, and a privy, but right on the lake. Can cast for fish right off the front steps.
     
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  4. Tickhill

    Tickhill Eternity: Smoking or Non-Smoking

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    Ask the Biden's/Clinton's/Kerry's/Obama's/McConnell's how they "clean up" their $$$
     
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  5. DonD

    DonD

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    Well, if Maine is like Colorado, the state will be paying more out in new drug rehab facilities than they get from taxes.

    And, again like CO, their vehicular accident rate will jump way up. Nothing good comes from pacifying the stoners. Don
     
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  6. Von Hayes

    Von Hayes

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    I will take you up on that.....can I poop in peace?
     
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  7. Tvov

    Tvov

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    Holy crap, you are veering into a poop thread......
     
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  8. FullClip

    FullClip Native Mainiac CLM

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    Sure, if the mosquitoes, spiders and squirrels don't freak you out too much. The camp does have an early 60 Frigidaire that works wicked good at keeping beer cold.
     
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  9. Gino

    Gino Millennium Member

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    Yep, how can anything good come from adding another layer of drugs between us and real life? I'm not surprised that Colorado is having trouble...
     
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  10. lazarus66

    lazarus66

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    We've had illegal weed forever and the banks don't mind that money....
     
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  11. Von Hayes

    Von Hayes

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    Is ok I summon UFOs and improvise crude weap9ns?
     
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  12. Chesafreak

    Chesafreak

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    People are going to smoke marijuana regardless of whether it's legal. If it's legal at least people will know that they're buying weed that's not adulterated with something that's going to kill them or make them ill. Legal marijuana also cuts into Mexican drug cartels profits.

    Not everyone who smokes it is a 'stoner'. My wife would like for it to be legalized because of a vertebrae injury so she doesn't have to take pain medications. My mom has a neurological disorder that draws her spine over so that her head is always tilted down toward the floor. Her doctor told her that marijuana could help her instead of having to take strong muscle relaxers.
     
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  13. FullClip

    FullClip Native Mainiac CLM

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    Up here the UFOs summon you, and everything and everyone is pretty crude.
     
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  14. Vito

    Vito

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    Karl Marx called religion "the opiate of the masses", accusing traditional societies of using religion as a way of diverting the attention of the people from their sad plight in life. Today's Leftists are more practical, and are using legal access to mind altering drugs as an easy path to fool the fools who are paying the bills for the Leftist agenda. Here in Illinois folks are almost giddy with joy now that recreational weed is legal, heaping praise upon the inept billionaire governor and seemingly uncaring about the rape of taxpayers in this state by the public employee unions and their elected thugs.
     
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  15. Von Hayes

    Von Hayes

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    weapons? Just that if I happen to make a Pitt trap, and some idiot happens to fall into it......I dont want it to affect my sleep...
     
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  16. pizza_pablo

    pizza_pablo USN Retired

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    No doubt!
    I hadn't thought of it that way.
    Thanks, for the reality check!

    In Washington State, the MANY stores (in my town they're are more pot stores than gas stations. One 7 store front strip mall has two.) are taxed very highly, but the banks won't handle the money. Crazy times!
     
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  17. MAG40 Student

    MAG40 Student Silver Member

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    Regarding the banking issue, state-chartered credit unions seem to be the most popular workaround.

    As for tax revenue, the following two photographs were posted at the excellent Second City Cop blog (http://secondcitycop.blogspot.com/), on January 2, 2020, the day after "legal" pot became available for sale in Illinois. Take a look at the taxes:

    Weed 1.jpg

    Weed 2.jpg

    I don't and never have imbibed, so I have no idea what is the going rate for pot. But one need not use, nor have a Ph.D from the London School of Economics, to understand that with so onerous a tax burden, once the novelty of "legal" dope wears off users will return to doing business with their local dealer.

    Someone should have explained the Laffer Curve to these state and local legislators before they determined their tax levies. As Ray Kroc famously said, "I don't make a lot of money off each French Fry but, gosh, I sure sell a hell of a lot of 'em."
     
  18. Dog Soldier

    Dog Soldier NRA Benefactor

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    The legal use of Marijuana allows the Cartels to sell their wares. They can dodge the taxes and sell to anyone. Governments are uncaring leeches run by greedy politicians. The American tax payers will pay millions for drug rehabs in future years.
     
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  19. 'Ol Grandad

    'Ol Grandad Director of civil unrest

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    Don't kid yourself or any of us the state makes bank on state funded rehab facilities.
     
  20. The Fist Of Goodness

    The Fist Of Goodness

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    Legal weed stores should have no issues with the IRS as long as they report their earnings and pay the taxes.

    The problem with the cash from these dispensaries is that federally, any proceeds from specified unlawful activities are subject to the money laundering laws which essentially make the proceeds contraband. It is illegal to conduct any transactions with these proceeds and the banks are subject to huge fines if they allow these businesses to deposit their money there.

    Under the Obama Admin, the Attorney General (illegally, IMO) ordered the US Attorneys to selectively ignore marijuana related offenses. Sessions rescinded that order, stating that it was beyond his predecessors authority to order certain crimes to be ignored.

    This is something that is going to eventually need to be addressed by Congress. I suspect they are holding off until a larger number of states pass marijuana legalization before they act.

    Sent from my LM-G710 using Tapatalk
     
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