Marijuana Dispensaries Put Colorado Banks in a Bind
Every month, Elliott Klug or one of his business partners walks into the Colorado Department of Revenue with a messenger bag holding thousands of dollars in cash and waits as state employees start counting. Klug, co-founder of PinkHouse Blooms, a chain of five medical marijuana dispensaries in Denver, has to pay his sales taxes in cash because federal law bars banks from offering accounts to pot shops, even though they’re legal in Colorado. “It highlights the awkward situation we’ve been placed in,” Klug says. “We are paying taxes, but despite our best efforts to be good citizens, we’re still paying in cash.”
To continue reading this article you must be a Bloomberg Professional Service Subscriber.
If you believe that you may have received this message in error please let us know.
- Smartphones Are Killing Americans, But Nobody’s Counting
- Why a Pub in the Middle of Nowhere Was Named the World’s Best Restaurant
- Gulf Coast Oil Spill May Be Largest Since 2010 BP Disaster
- Marc Faber Asked to Leave Sprott Board After Racist Report
- Airbus Snaps Up Bombardier Jet in New Challenge to Boeing