United Cannabis Business Association (UCBA)

‼️🚨HUGE UPDATE 🚨‼️ (Read and Watch) UCBA Sponsored Bill - SB 1059 Cannabis: local taxations: gross receipts (Bradford) PASSES ASSEMBLY TAX & REVENUE COMMITTEE!!!! Here's some highlights and background. In 2022, Governor Newsom passed AB 195 (against the recommendation of UCBA) changing the cannabis tax structure. One of the worst changes came after the bill was passed and the CDTFA issued a guidance stating the local cannabis taxes were to be taxed by state excise tax. That created additional problems in Los Angeles and other jurisdictions. LA is home to 25% of the state's retailers as well as state cannabis tax revenue. In LA the local tax, amongst the highest at 10%, has in its code language which taxes the state Excise Tax. And with the passing of AB 195 there became a conflict where the state tax taxes the local tax and the local tax taxes the state tax - making it impossible to know who's the last tax. As soon as AB 195 passed UCBA went to work arranging a meeting with CDTFA and the LA Department of Finance to resolve this but both parties walked away from the meeting stating that each was right and nothing was resolved. So we took the issue to Senator Bradford to help us introduce a bill. Last year we introduced SB 512 which sought to do three things... - Prevent the state excise tax from taxing the local tax - Prevent the local tax from taxing the state excise tax - Prevent sales tax from taxes both excise and local tax Ultimately seeking to stop the triple compounding tax on tax on tax created by AB 195. The affects of which we continue to see as it destroys the legal industry. Last year UCBA and Senator Bradford got SB 512 passed the Senate although died in Assembly Tax and Rev committee one week after the committees chair, Asm Irwin, had her strict cannabis labeling bill gutted. UCBA worked hard to get the votes needed to pass the bill through her committee however she ultimately choose to not let the bill to be heard. Shattering any timely hope the industry had to resolve the massive burden of AB 195. This year UCBA sponsored SB 1059 with Senator Bradford as the industry champion. However the bill had to be modified if it had any hope of address tax changes in a climate where California currently is working through a $73B budget deficit. What's the bill do this year? - It prevents local governments from taxing the state excise tax. - It also had a provision to remove the unfair 50% penalty for late tax payments but that had to be removed early on if the bill was to have any chance this year. The bill passed the Senate 34-0 and today was up for vote once again in the same committee that didn't even let it have a hearing last year. With our President Jerred Kiloh, UCBA lobbied heavily to dispel mistruths in the bill analysis. Despite having everything against us this year to get this bill passed. And to top it off committee member Assembly member Haney asked to Co-Sponsor the Bill!

Join us at the Summer Ignite Industry Social on June 13! 🌿 Network with industry leaders, enjoy food & drinks, and explore new opportunities in cannabis retail. Secure your spot today—spaces are limited! RSVP Here: web.kayapush.com/4bBpyMs #CannabisIndustry #NetworkingEvent #SummerIgnite #CannabisRetail

UCBA Virtual Roundtable happening this Thursday, 3pm PST. Join us with our President Jerred Kiloh and Executive Director Jonatan Cvetko as we review taxes, zoning & legislation. Gain a deeper understanding of the challenges facing our industry and discover actionable strategies to thrive in today's dynamic landscape. Together, we can make a difference and build a stronger, more resilient cannabis community. Sign up at the below link: https://lnkd.in/eYXWx7gS

Are you ready for what’s coming in 2024? The United Cannabis Business Association invites you to our roundtable virtual event Wednesday, April 3 at 1pm that's all about staying informed, saving money, and strengthening our industry as a united front.