No Deductions for Marijuana Businesses Act

Referred to the House Committee on Ways and Means.

Bill 119 HR 1447, also known as the Maintaining Prohibition on Deductions for Marijuana Businesses Act, aims to amend the Internal Revenue Code of 1986 to continue the ban on allowing any deduction or credit for businesses involved in trafficking marijuana. This bill is in response to the growing trend of states legalizing marijuana for medical and recreational use, which has created a conflict between state and federal laws.

The bill specifically targets businesses that are engaged in the trafficking of marijuana, which is still considered illegal under federal law. By prohibiting these businesses from claiming deductions or credits on their federal tax returns, the bill seeks to discourage and penalize those who are profiting from the sale of marijuana.

Supporters of the bill argue that allowing deductions or credits for marijuana businesses would essentially be providing a financial incentive for illegal activity. They believe that maintaining the prohibition on these deductions is necessary to uphold federal law and discourage the trafficking of marijuana. Opponents of the bill, on the other hand, argue that it unfairly penalizes businesses operating legally under state law. They argue that marijuana businesses should be treated like any other legal business and be allowed to claim deductions and credits on their federal tax returns. Overall, Bill 119 HR 1447 is a contentious piece of legislation that highlights the ongoing debate over the legalization of marijuana and the conflict between state and federal laws. It will be interesting to see how this bill progresses through Congress and what impact it may have on the marijuana industry in the United States.