KOTA KINABALU: The Sabah government has announced a temporary ban on exports of scrap iron in a bid to meet the local steel industry’s needs for sufficient raw material to maintain operations.
It’s a hot Saturday afternoon in Lagos and as you drive down the narrow street lined with cars to attend the naming ceremony of your colleague’s newborn son, a horde of young men come rushing onto the street from a nondescript building at the corner.
Your first reaction is to slow down and watch their next move, another part of you wants to quickly get out of the way to avoid any untoward occurrence. There is a brief and palpable fear inside the car as you scan the faces of the crowd passing by, trying to make out their words and expressions. Suddenly, your eyes light up. Alas! The furore is a simple football banter.
Even though there are record revenues and record state tax receipts, cannabis retailers are struggling.
IRS Section 280e puts a heavy burden of additional federal business taxes on cannabis retail businesses.
The greatest share of business risk is borne by main street: smaller businesses, and women & BIPOC-owned businesses.
IRS Section 280e puts the effective tax rate for cannabis operators at between 60% – 70%. Retailers are hit hardest by this policy.
Data on cannabis retailer sales tax payments in Oregon indicate that retailers are increasingly falling behind on their payments.
On average, retailers are behind nearly $20,000 in state taxes. How will they suddenly be able to pay an annual average of $146,000 in Federal taxes?
Chief Minister Datuk Seri Hajiji Haji Noor (pic) said any credit for the introduction of the State Sales Tax on petroleum products under which Sabah will getting an extra RM1.23 billion effective next year should also go to a previous State Government which, in 2014, undertook a study on the matter