“I think the taxation structure makes it extremely difficult to make money given the impact of that,” said Seth Yakatan, co-founder at Katan Associates, during a dynamic Benzinga Cannabis Capital Conference panel discussion on the challenges and evolving landscape of the cannabis industry in California.
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See Also: The Real Cost Of Starting A Cannabis Business In California: Gone Are The $10,000 Startup Days
Rigid Regulations, Exorbitant Taxation & Complex Payment Processing Terrain
Sahar Ayinehsazian, a partner of Vicente LLP echoed Yakatan’s sentiment, zeroing in on the 280E tax code. “The difficulties that we're facing,” she said, succinctly encapsulating an industry beleaguered by regulatory shackles and a volatile payment processing ecosystem.
“It's like having two hands tied behind your back,” added Laurie Holcomb, founder and CEO of Gold Flora Corp (OTCPK: GRAM), underscoring the shared sentiment of constrictive policies and taxing regimes.
Amidst these assertions, Ed Schmults, CEO at Statehouse Holdings Inc. (OTCQB: STHZF), lifted the veil on another ...