Do hemp farms, middle men, and retail from seed to sale get tax breaks and incentives for having a business in the US or do they get the same cash only treatment as the Cannabis industry?

This is all I could find for this exact question, and it keeps referring to the Marijuana business and not Hemp specifically, and it is 4 years old. https://www.thetaxadviser.com/issues/2019/dec/legal-hemp-deductible-expenses.html

  • SnausagesinaBlanketOP
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    9 months ago

    This is medical hemp CBD, CBG, low THC below .03. It’s mainly concerning whether this business does or doesn’t have the same IRS classification as any other business, or is it considered marijuana to be specific.

    • kersplooshA
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      29 months ago

      As far as I can find, as long as the THC content is below 0.03% then there are no special business or tax rules. This lines up with the answer @[email protected] gave. As far as the Feds are concerned, banks are clear to work with industrial hemp growers and resellers (relevant NY Times article).

      Whether banks are open to working with industrial hemp customers is a separate issue. It seems like most are waiting for the SAFER Banking Act to get some traction in Congress. That bill should explicitly confirm what is legal at the federal level in terms of banking, loads, and insurance for both industrial hemp and the rest of the cannabis industry.