On September 7, 2010 the Obama administration proposed a new tax program addressing capital investments. Under the proposal, US businesses would be allowed to deduct from their Federal taxes the full value of new equipment purchased through 2011. This proposal would build on the stimulus measures enacted in 2008 and 2009 allowing businesses to depreciate 50% of their capital investments. The Senate rejected this proposal, however, it did initiate two programs that may have an impact on business tax liability. First, rather than allowing 100% depreciation on new equipment purchased by businesses, the Senate reinstated the 50% depreciation bonus for 2010. Second, the Senate authorized an increase IRS Code Section (“Section”) 179 expensing levels to from $250,000 to $500,000 and the phase-out threshold amount from $800,000 to $2,000,000 for 2010 and 2011.
- Medical marijuana is becoming an accepted alternative palliative treatment
- State law does not protect users against federal prosecution
- The Attorney General is not looking to prosecute medicinal marijuana use but the risk of prosecution is still very real
This article is by David Mindell, a 1L at Chicago-Kent.
Only a few years ago much of the marijuana found in America could be traced to drug empires and smuggling operations in Mexico. One of the most widely used drugs, marijuana, has been at the forefront of anti-drug campaigns dating back to the early 20th century. The medical benefits of marijuana are fast becoming an accepted alternative treatment in palliative care. California paved way for the medical marijuana industry with the passage of the Compassionate Use Act of 1996. The Act promised seriously ill Californians the right to use and obtain marijuana for medical purposes, when deemed appropriate by a medical physician. Fourteen years later fourteen states followed.