HHS - How Does Cannabis Reclassification To Schedule III Differ From De-Scheduling & What Is Ideal Reform? Legal Expert Explains | Benzinga
Over the past several years, the US cannabis industry has experienced many important milestones. Among the important ones are the 24 states to date have legalized adult-use cannabis and some 40 states that have launched medical marijuana programs, President Biden’s pardon of some 6,500 federal cannabis prisoners and called on governors to do the same for state prisoners. The most recent breakthrough happened this August when the Health and Human Services recommended Drug Enforcement Administration (DEA) reclassify marijuana to a Schedule III Substance.
Cannabis is currently categorized as a Schedule 1 Substance, meaning it has no accepted medical value and has high abuse potential. Other substances that fall under this category include heroin, LSD, ecstasy, etc.
To learn more about what reclassification and other possible reforms such as the SAFER Act would mean for the industry Benzinga reached out to a legal expert, Michael Rosenblum. Partner at Thompson Coburn LLP and co-chair of the company’s cannabis group, Rosenblum previously served as general counsel at well-known marijuana company Stiizy. Since 2017, he represented cannabis clients building his acumen on mergers and acquisitions, real estate, and regulatory matters.
"Reclassifying cannabis to Schedule III means that the federal government no longer views cannabis as being among the riskiest drugs,” Rosenblum told Benzinga. Although cannabis would remain a controlled substance, rescheduling would reduce the obstacles faced by businesses and consumers.” The most important benefit for weed businesses would be tax relief regarding the issue of the IRS code 280E, which prohibits the marijuana industry ...