In the future, smokable hemp flowers with a low THC content can only be sold in tobacco meals and are now subject to tobacco tax. This goes back to an acquaintance of the administrative court. Experts expect extra income for the state in the reach of double digital million.
Cannabis or hemp flowers with a very low THC content of less than 0.3 percent are not considered addicts and can be activated, obsessed and used for consumption. However, dried hemp blossoms fall as smokable products in the field of tobacco monopolistic legislation, as the administrative court decided. In the future, sales will therefore only be permitted in tobacco transformers, and a tax rate of 34 percent will also apply to the products in the future.
Vorarlberg Hanfshop complained
The background of knowledge is a complaint by a Vorarlberg Hemp Shop at the Federal Finance Court. The company had imported dried flowers from Switzerland into larger quantities, after which the Austria -Douanekantoor prescribed nearly 30,000 euros in tobacco tax. The hemp store then argued that the flowers were not tobacco at all.
However, this does not matter how the court stated. The Tobacco Tax Act also records smokable products, some of which consist of other substances than tobacco. The administrative court has now confirmed the opinion of the Federal Finance Court. The knowledge must be implemented immediately.
According to media reports, extra income of a maximum of 15 million euros for the state is to be expected. For hemp stores, the judgment must mean serious economic incisions, because CBD products make up a large part of their sale. Hannes Hofer, head of the Monopoly Administration, estimates the market volume at around 50 million euros.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
