Citing sources, the Washington Post reported on the 11th that President Trump is preparing an executive order to reclassify marijuana from a Schedule 1 to a Schedule 3 substance under the current drug classification system.<\/p>\n
Under the current drug classification system, Schedule 1 substances are drugs with no recognized medical benefit and a high risk of abuse, such as heroin and LSD. Schedule 3 substances are drugs with recognized medical benefit, even if they carry a certain risk of abuse, such as codeine-containing painkillers.<\/p>\n
If marijuana is reclassified from Schedule 1 to a Schedule 3 substance, it will become a controlled substance with medical benefits at the federal level for the first time.<\/p>\n
Experts say that even if President Trump signs this executive order, marijuana use will not be legalized at the federal level. However, a groundbreaking change is expected for the industry.<\/p>\n
While deducting expenses such as R&D costs is virtually impossible for companies handling Schedule 1 narcotics, deducting R&D costs for Schedule 3 substances will allow deductions for not only R&D costs but also marketing and labor costs.<\/p>\n
Consequently, legal marijuana companies are expected to see a significant increase in profitability.<\/p>\n
Furthermore, the approval process for various marijuana-related clinical trials will be significantly simplified, which is expected to have a positive impact on the marijuana industry.<\/p>\n
Currently, more than three-quarters of all 50 states, including New York and New Jersey, have legalized marijuana for medical or recreational use.<\/p>\n","protected":false},"excerpt":{"rendered":"