Virginia senators have passed a pair of bills to legalize the sale of recreational marijuana and reduce penalties for people with prior cannabis convictions.
The Senate Judiciary Committee voted 9-6 on Wednesday to advance legislation for Sen. Lashrecse Aird (D) to sell marijuana. Members also voted 12-TK3 to approve Senate President Louise Lucas’ (D) anti-cannabis measure.
Both measures then go to the Senate Finance and Appropriations Committee, potentially before reaching a date.
Aird told colleagues in Wednesday’s speech that his bill “establishes a marketplace that protects consumers and puts health and safety first, ensures a balance in our regulatory framework that ensures legalization is consistent with public health and safety goals, and avoids past mistakes built into alcohol laws that allow the legal substance to continue to be criminalized.”
“I know there’s interest in aligning the approach we take in this legislation with (the Alcoholic Beverage Control Authority’s) enforcement structure, but if we do that too narrowly, we risk building a legal system that relies on arrests, mandatory fines, mandatory minimums, prison sentences and low-level offenses,” he said. “And that approach has failed with alcohol and will fail again for cannabis.”
The panel accepted several amendments from Sen. Scott Surovell (D), the panel’s chairman, over Aird’s objection.
Among the changes are amendments to “essentially align the penalties for the illegal sale of alcohol with the illegal sale of marijuana,” Surovell said, bringing the penalties for minors in possession of cannabis on par with those for alcohol.
Another bench-approved amendment adds criminal penalties for buying marijuana from an unlicensed dealer.
Marijuana Justice’s Chelsea Higgs Wise supported the overall bill, but expressed concern about the recently passed criminal amendments, calling it “a step backwards.”
A representative of the Virginia State Conference of the NAACP also said, “If we really want to prepare our children for success, we’re not going to criminalize them, but we’re going to figure out how to support them so they can make better choices.”
JM Pedini, director of development for advocacy group NORML and executive director of Virginia NORML, told Marijuana Moment that the organization is “deeply concerned about committee members’ re-criminalization of cannabis users and mandatory minimum approvals for marijuana.”
“It is particularly troubling that as this body moves to address resentment of marijuana-related penalties, it is simultaneously entertaining new ways to further criminalize consumers,” Pedini said.
the senate the version calls for sales to begin on January 1, 2027, while the House bill stipulates that the sale of cannabis for adult consumption can begin on November 1 of this year.
Here are the main details of Virginia’s legal marijuana sales legislation:
Adults would be able to purchase up to 2.5 ounces of marijuana in a single transaction, or up to an equivalent amount of other cannabis products, as determined by regulators.
The Virginia Cannabis Control Authority would oversee licensing and regulation of the new industry. Its board of directors would have the authority to control the possession, sale, transportation, distribution, delivery and testing of marijuana.
A tax of up to 12.625 percent would apply to the retail sale of any cannabis product. That would include a 1.125 percent state retail and use tax on top of a new 8 percent marijuana-specific tax. Local governments can charge an additional 3.5 percent.
The tax revenue would be divided between the costs of administering and enforcing the state’s marijuana system, a new Cannabis Equity Investment Fund, pre-kindergarten programs, substance use disorder prevention and treatment programs, and public health programs such as awareness campaigns designed to prevent drug-impaired driving and discourage underage use.
Local governments could not allow marijuana companies to operate in their area.
Delivery services would be allowed.
Serving sizes would be limited to 10 milligrams of THC, with no more than 100 mg of THC per package.
Existing medical cannabis operators could enter the adult-use market if they pay a $10 million license conversion fee.
Cannabis businesses should implement peaceful labor agreements with their employees.
A legislative committee would direct the addition of local consumer licenses and micro-enterprise cannabis event permits that would allow licensees to hold sales at farmers markets or pop-up locations. The Virginia Alcoholic Beverage Control Authority would also investigate the possibility of involvement in marijuana regulation and enforcement.
The legislation would create a process for people who are incarcerated or under community supervision for certain crimes involving the possession, manufacture, sale or distribution of marijuana to receive an automatic sentencing hearing.
The invoice It applies to people with convictions or convictions for conduct that occurred before July 1, 2021, when a state law that legalized personal possession and home cultivation of marijuana went into effect.
The panel approved some technical changes before passing the legislation.
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With the April 2025 tax return filing deadline fast approaching, cannabis companies must once again face the burden of Section 280E of the Internal Revenue Code (“Section 280E”). Despite significant developments over the past year — including a major executive order from President Trump and the IRS, for the first time, disclosing legal reasoning funds to keep state cannabis “within the meaning” of Section 280E — taxpayer scrutiny remains the same.
However, whether substantively or psychologically, these recent developments weigh on how taxpayers should deal with Section 280E. Below, we summarize the key developments that cannabis taxpayers should be aware of as they prepare their 2025 returns.
As discussed in previous publications, Section 280E provides: “(e) no deduction or credit shall be allowed for any amount paid or incurred in the course of any trade or business during the taxable year, if such trade or business (or the activities constituting such trade or business) is trafficking in controlled substances (controlled substance classes I and II prohibited by State or Federal law).
Because cannabis is now listed as a Schedule I controlled substance under the Controlled Substances Act (CSA), the IRS has consistently maintained that Section 280E applies to state-licensed cannabis businesses, significantly increasing their effective tax rates.
A Louisiana Senate panel has advanced a bill to allow patients with terminal and irreversible conditions to use medical marijuana in hospitals.
The Senate Health and Welfare Committee approved the legislation, SB 270 (D) by Sen. Katrina Jackson-Andrews, with amendments, on a voice vote Wednesday.
“This bill was introduced at the request of voters who believe that therapeutic medical marijuana, which is already legal in this state, should be offered in hospitals when the terminally ill or otherwise need the comfort of this medicine,” Jackson-Andrews said before the vote.
Under the proposal, hospitals would have to create written policies to allow covered patients to consume medical cannabis in forms other than smoking or vaporizing it.
Under an amendment approved by the panel, emergency or outpatient departments would be exempt from the policy. The revised legislation also clarifies that patients and primary caregivers are responsible for obtaining and administering medical marijuana, which “must be securely stored at all times in a sealed container provided by the patient.”
Health care professionals and staff would be prohibited from “administering, storing, retrieving, or assisting a patient with medical marijuana.” the text he says
The amendment, which the proponent worked out with the help of the Louisiana Hospital Association, also allows hospitals to opt out of the policy if federal officials take action against any health care facility in the state regarding the use of medical cannabis, instead of allowing those specifically targeted to stop serving.
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Cresco Labs has obtained a Texas Compassionate Use Program License. It is a vertically integrated license that allows Cresco Labs to cultivate, process and distribute medical cannabis.
“Texas patients deserve access to consistent, quality medicine, and we’re excited. Our track record in medical markets reflects our ability to build strong programs that put patients and communities first,” said Charlie Bachtell, CEO of Cresco Labs. “Winning a license in Texas through a merit-based application demonstrates Cresco Labs’ deep regulatory expertise and thoughtful approach to meaningful local engagement. Organic licenses enable capital-efficient market entry, and our cash flow and balance sheet give us the financial flexibility to invest in and grow our scaled platform for the long term.”
This license advances Cresco Labs’ state-by-state growth strategy and ensures access to one of the largest patient populations in the United States. Texas is the nation’s second most populous state, approaching 30 million people, and continues to see ongoing legislative efforts to improve patient access and expand eligibility.