Skip to Main Content
Services Talent Knowledge
Site Search
Menu

News

April 1, 2022

Jason Klimek Published in Tax Stringer

Jason Klimek, Cannabis Team co-leader, co-authored the Tax Stringer article “Cannabis Taxes in New York State: How High Is Too High,” which explores how the federal tax code and New York State’s forthcoming adult-use cannabis tax rates will impact the state’s cannabis industry. The article breaks down the different tax rates, which are dependent upon the products sold by the distributor. Notably, the state’s estimated tax rates would place retail prices around twice the illicit market prices. 

“In New York State, the combination of 280E and complicated THC potency taxes, resulting in some of the highest cannabis tax rates in the nation, will continue to be an issue for industry participants that will make competition with the illicit market difficult.”

To learn more about the implications of the tax structure included in the Marijuana Regulation and Taxation Act (MRTA) and Section 280E of the Internal Revenue Code and to read the full article, click here.

Subscribe

Click here to sign up for alerts, blog posts, and firm news.

Featured Media

Alerts

NYS Submits 1115 Waiver Amendment (Health Equity Reform) to CMS

Alerts

Federal Court Sanctions Party Where Corporate Representative Answered "I Don't Know" over 100 Times During 30(b)(6) Deposition

Alerts

COVID-19 Business Interruption Update: Second Circuit Issues Decisions in Favor of Insurers Dismissing Claims

Alerts

NYS Governor Hochul Signs Bill Expanding the Decision-Making Rights of Individuals With Intellectual and Developmental Disabilities

Alerts

Board of Regents Adopts Emergency Regulations on the Mental Health Diagnostic Privilege

Alerts

Utility Companies Not Liable for Substations They Do Not Own, Operate, or Supervise

This site uses cookies to give you the best experience possible on our site and in some cases direct advertisements to you based upon your use of our site.

By clicking [I agree], you are agreeing to our use of cookies. For information on what cookies we use and how to manage our use of cookies, please visit our Privacy Statement.

I AgreeOpt-Out