understanding the law as a grower...

stsin

Well-Known Member
I'll give you a qualified yes on good ol syphilitic al, had he not demonstrated in such a way the possessing of funds beyond what he claimed to have on taxes, they would have had no tax case against him. Hell, his lawyer specifically told him to not splash out as he did.... Though really the reason he was caught by the fibbies was due to the federal court (which one escapes me) issuing a warrant for his arrest after he failed to respond to questioning summons relating to the v-day massacre. That's what brought in the fbi, and eventually led to his downfall on tax charges (had he not been a "known" boss, he likely wouldn't have been convicted of those charges, or at the very least would have had his sentence drastically reversed due to actions by the supreme court after his conviction. Apparently even if they can't prove it, judges take a dim view to people responsible for multiple murders and terrorizing the population. Mind you, because of how hard he was to catch at all we now have racketeering laws so they didn't need to work so hard the next time ;)

Really, you can be uber paranoid and figure they're all trying to bust us and stay black market (thusly exposing yourself to more punitive actions) but really there is very little rational reason to do so when the state has legalized it. Listing income from 1099s on your tax form will *not* automatically get the FBI to crawl up your ass. (Again, see bunny ranch and the other brothels in NV.) Just remember when you decide what color of hat to wear and how to behave that while Oregon is fairly liberal on medical (and possibly soon to be recreational) marijuana growing, if you exceed the state's limits by even 1 plant (or by selling 5+ grams) you'll find yourself in very hot water as oregon's drug laws are not without teeth. A single extra plant is a felony with up to a 10 yrs term in prison, selling 5g or more in a way that's not allowed by OMMP is also a felony with again up to 10 yrs in prison, and possession of four or more ounces than you're allowed to have is a felony as well (you can guess the prison term). And of course if you have a drug conviction you can't be OMMP anymore. If the risk is worth the rewards is between you and your chosen deity/totem/legal buddy....

The take home message (at least for me) is collect 1099s for your excess growth. Also, don't grow too many plants as the vast majority of instances in the last couple of years where the government went after state legal growers, the growers tended to be in a co-op and growing a fairly large number of plants (40+). If you have 6 trees in your rear garden, are selling to the local 1099 issuing disp, and not carrying more than you're allowed to then you are truly as reasonably safe (protected) as you can be. Really though, talk to a MMJ atty / accountant and not us (well meaning) randos heck, spend some money and get some representation on retainer if you're next level paranoid. Bad shit can, does, and will happen to people; however that doesn't mean it will happen to you if you act sanely and safely. Really, you can follow the law and rest assured that you are protected (you might very well not be), or you can ignore the law and rest assured that you have no protection what so ever (and you very well will not). I chose option A as it's easier on my psyche and I have no reasonable evidence to suggest otherwise at my production levels.
 
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stsin

Well-Known Member
BTW there was an article in US news more or less saying all of the above (but in a specific US news-y sort of way)

http://tinyurl.com/ktmfglf

Basically, dunno, federal prosecutors could prosecute, but for now they're not.... I am curious how the colorado lawsuit goes, I suspect the judge will rule the pot taxes legal in the same way that lacking marijuana tax stamps has been upheld in the midwest (where it is both taxed, AND illegal by the state).
 

iPot

Well-Known Member
BTW there was an article in US news more or less saying all of the above (but in a specific US news-y sort of way)

http://tinyurl.com/ktmfglf

Basically, dunno, federal prosecutors could prosecute, but for now they're not.... I am curious how the colorado lawsuit goes, I suspect the judge will rule the pot taxes legal in the same way that lacking marijuana tax stamps has been upheld in the midwest (where it is both taxed, AND illegal by the state).
Do you know how much dispensaries are buying for?
 

stsin

Well-Known Member
Re: Ipot: it depends on the disp. each one can set their own price, so call around to your local ones and ask. Generally speaking they'll give less for outdoor grown (note some include greenhouses as outdoor others don't). But as a rule of thumb, it'll be ~ 1/2 of what you'd like them to offer ;)
 

legallyflying

Well-Known Member
Ok, since we are done talking about contracts between grower and patient, we can answer the actual questions from the OP.

1. You can sell excess weed to dispensaries for a profit..where do you think they get all their weed from?
2. 90% of dispensaries will require you to have a registered business with a tax ID.
3. The dispensaries WILL issue a 1099 at the end of the year (that they also submit to the IRS). A bunch of 1099 showing up in Utah and your not claiming any profits and paying taxes...not wise my friend NOT wise.
4. Your federal tax return doesn't have to say "dude, I grow weed". Retail sales, wholesale distribution, their are a million tittles to explain what you do.
5. Have all this shit together when you go into the dispensaries and better yet, call ahead to make an appointment to show your product. They hear "hey, you guys want to buy excess meds from me" about 50,000 a day.
6. STAY within your limits!! When you start amassing cards then you draw attention. I can't remember the numbers but 90% or so of listed growers have less than 3 patients. The police in multnomah county could care less about the average grower but they show up and you have 30-40-50 plants, they start counting and calling the state to verify your cards. Don't be greedy, the law states if you are in excess that you are not afforded protection from prosecution under the OMMP laws.. Yikes!
7. My attorney said "sell only to dispensaries and you will never end up in jail". So don't be tempted to sell that 10 pack to a guy that lives in Idaho. That's how it all starts.. Statie in Idaho discovers weed, raises some eyebrows, phone call are made, and 6-8 months later the black SUVs show up. They have surveillance, they have your text records, they have pictures, electric bills, tax statements, emails, forum posts...yes forum posts, you name it. I have seen it happen first hand, it is not pretty. Everyone is a tough guy and super smart until the DEA has your hands and feet zip tied. They don't ask questions..they already know what's up.

Bottom line, be smart and act Ike a professional. If you think "should I be doing this?" Then consult a lawyer or don't do it.

The game is changing and you better believe that the big grows that have been ignored for awhile are going to be targeted.

If you don't think there are allot of legal growers with business licenses then go to fillinginoregon.com and do a business registry name search for "cannabis".
I hope this helps.
Cheers
 

mygirls

Medical Marijuana (MOD)
funny thing is I don't need a business license to open a dispensary in my town. so how does that work looking up on the business registry. all town are different.. and you have to go threw the state to obtain a license to open a dispensary
and to sell your extra meds to a place you must have it tested.

facts not fiction
 

f0nzy

New Member
Got a ? for OMMP growers out there. Up until now I've grown for patients I trust, usually during Summer time. Now I'm looking at an indoor/hydro setup for year round, and I'm going to want to take on one more patient but, the last individual I spoke with made me think twice. Is there a way I can provide meds to a patient without divulging where I'm physically growing (legally of course)? Can a collective/CoOps work this way?
 

stsin

Well-Known Member
Got a ? for OMMP growers out there. Up until now I've grown for patients I trust, usually during Summer time. Now I'm looking at an indoor/hydro setup for year round, and I'm going to want to take on one more patient but, the last individual I spoke with made me think twice. Is there a way I can provide meds to a patient without divulging where I'm physically growing (legally of course)? Can a collective/CoOps work this way?
No, as the site you're growing at needs to be listed under growsite address. The closest you can come to this is to sell your excess medication to one of your nearby dispensaries. (Note: this will be taxable income as talked about previously)
 
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