From Tax Woes To Hemp Rules: Department Of Cannabis Control's Nicole Elliott Outlines Regulatory Goals

At the recent Cannabis Market Spotlight event in Anaheim, California, Department of Cannabis Control director Nicole Elliott addressed some of the state's pressing cannabis industry challenges, zeroing in on tax reform and hemp regulation as two priority areas.

As the state's top cannabis regulator, Elliott provided a window into the Department’s goals as it navigates an increasingly complex regulatory landscape while striving to support industry growth and public health objectives.

Tackling Tax Challenges

Elliott spoke to the ongoing challenges posed by the state's current tax framework for cannabis businesses. Acknowledging the financial burdens and inefficiencies that affect operators, she explained how these tax issues undermine the state's cannabis objectives.

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"We know taxes will be an issue," Elliott noted, emphasizing the importance of constructive engagement between industry participants and legislators. She encouraged those in the cannabis space to approach the state legislature with clear, informed communication to help shape effective tax reforms.

Hemp Regulation and Unregulated Market Enforcement

Elliott also addressed the recent California court decision upholding restrictions on certain hemp products. While the California Department of Public Health manages hemp regulations, Elliott's department is involved in enforcing regulations within unregulated markets. Her team also serves as an advisor on cannabinoid products and regulatory standards.

"We are serving as a subject matter expert when it comes to cannabinoid products, cannabinoid regulations," she shared, describing the department's role in guiding policy that aligns with California's public health and regulatory goals.

At the event, Elliott's comments offered industry professionals insights into the state's regulatory priorities, signaling areas of focus and potential legislative action as they prepare for what lies ahead in 2025.

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