Ineligible for Covid Relief Funds, Cannabis Companies Are in Trouble
Despite being declared an essential service, the cannabis industry may fall victim to Covid-19.
Already beset by huge tax bills and an inability to access banks, the cannabis industry is also ineligible to receive money from the Coronavirus Aid, Relief and Economic Security (CARES) Act. However, it’s not just companies that “touch the plant” that have been excluded from receiving financial aid, so have a host of other tax-paying businesses that provide services to the industry, such as lawyers and accountants.
Most cannabis companies are considered small, with many being mom-and-pop shops. These are U.S. businesses that don’t outsource production, provide jobs to about 240,000 Americans, and pay taxes to many layers of government that are now denying them help amid the economic lockdown.
– Read the entire article at Forbes.