Overview
- Acting Attorney General Todd Blanche signed the order Thursday moving FDA-approved products and state-licensed medical marijuana to Schedule III, which the DEA defines as lower risk than Schedule I, without legalizing the drug.
- The Justice Department set a June 29 administrative hearing to consider broader rescheduling of marijuana under federal law.
- Rescheduling is expected to ease the tax burden on licensed medical operators by lifting Internal Revenue Code Section 280E limits that apply to Schedule I and II substances, though the IRS still needs to issue guidance.
- Officials say the change will lower barriers for scientists to study cannabis and that DEA registration for state-licensed producers and researchers will be streamlined.
- Opponents including Smart Approaches to Marijuana say they will sue, and some outlets report DOJ relied on treaty-based authority to act quickly, a tactic that could face courtroom tests.