The officials returned $35.6 million (33 million Swiss francs) to Swiss companies manufacturing cannabis products with a low THC content, also known as cannabis light. This was after the Federal Court annulled the tobacco tax on these products.
Find out more about the lawsuit filed against the state by cannabis light producers in Switzerland, how they received back the money they paid for the illegally imposed tobacco tax on their products, and read the most important cannabis news with the Hemp.im mobile app.
Cannabis companies filed a lawsuit
The sales and production companies filed a lawsuit against the recording of the tobacco tax on their light cannabis flowers. This tax is 25% and is levied on sales of their products as a substitute for tobacco.
The Federal Court of Lausanne agreed with them. It ruled that there was indeed no legal basis for imposing a tax such as the tobacco tax on cannabis light products.
The customs agency replied
“The Federal Court concluded that the legal basis for imposing the tobacco tax on cannabis flowers would not be sufficient. Consequently, cannabis products that do not contain tobacco are not subject to the tobacco tax. It is therefore not necessary to register them in the reverse register.”
“…After a more detailed analysis of the judgments, the Federal Customs Administration has now decided to reimburse all manufacturers for the tobacco tax in question.”
Also, the Customs Administration said that companies that have closed down can claim the money paid in tobacco tax. Furthermore, if a private customer believes they are entitled to claim the refund, they can contact their seller to request it.
A refund of $35.6 million (€30 million)
$35.6 million (€30 million) is the approximate total amount charged for the tobacco tax on cannabis light products. These taxes were wrongly charged to these Swiss companies and were already reimbursed by the customs agency.
Suppliers of hemp flowers who had paid the tax and who had not been contacted by the agency were encouraged to complete a form on its website to recover the tobacco tax paid on the cannabis flowers.
Switzerland and cannabis light
In Switzerland, cannabis light or cannabis with a low THC content is allowed by the authorities. Although Switzerland, unlike other countries such as Italy where the maximum THC content is up to 0/6%, the Swiss country allows up to 1%.
Specialist shops selling these products can be found in towns and cities in all Swiss cantons. Also, one supermarket chain has these products on its shelves.
Switzerland could also legalize recreational cannabis in the future
A few weeks ago, the Swiss Parliament decided to create a legal framework for experimenting with recreational cannabis, with the help of the left-wing formations, the Green Liberals, and the centrist Liberal Party.
“The war on drugs failed, we could not limit the use of cannabis with the help of the law and the threats of punishment. However, if one course turned out to be wrong, then it’s time to choose a different course. Sometimes, more liberal measures based on individual responsibility give much better results,” admitted Philippe Nantermod, a member of the Liberal Party.
On the other hand, right-wing parties are seeking to tighten the rules for this experiment. Among the proposed rules, one would be that the participants of the study will hand in their driver’s licenses, or that the THC in cannabis should not exceed 15%. It remains to be seen how the proposal of the Swiss experiment ends.
DISCLAIMER: This article was written by a third party contributor and does not reflect the opinion of Born2Invest, its management, staff or its associates. Please review our disclaimer for more information.
This article may include forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “estimate,” “become,” “plan,” “will,” and similar expressions. These forward-looking statements involve known and unknown risks as well as uncertainties, including those discussed in the following cautionary statements and elsewhere in this article and on this site. Although the Company may believe that its expectations are based on reasonable assumptions, the actual results that the Company may achieve may differ materially from any forward-looking statements, which reflect the opinions of the management of the Company only as of the date hereof. Additionally, please make sure to read these important disclosures.
First published in LA MARIHUANA, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.
Although we made reasonable efforts to provide accurate translations, some parts may be incorrect. Born2Invest assumes no responsibility for errors, omissions or ambiguities in the translations provided on this website. Any person or entity relying on translated content does so at their own risk. Born2Invest is not responsible for losses caused by such reliance on the accuracy or reliability of translated information. If you wish to report an error or inaccuracy in the translation, we encourage you to contact us.
Claris Ventures, €85 Million Closing for the Turin-based Sgr Focused on Early-Stage Biotech
Claris Ventures, founded by Pietro Puglisi and Ciro Spedaliere, is thus confirmed as one of the main Italian operators with...
Nine Ways to Make Your Blog More Engaging
Knowing how to make your blog engaging is one of the most important elements of any smart digital marketing strategy....
UrbanFisio Launches Virtual Assistant to Surpass €1 Million by 2021
The company UrbanFisio had a turnover of $1.03 million (€878,000) in 2020 and expects to reach $1.53 million (€1.3 million)...
How Rating Discrepancies Undermine ESG
According to some experts, companies with higher sustainability scores have better risk management and compliance standards, leading to fewer extreme...
Elon Musk Said Tesla Will Accept Bitcoin Again
After Tesla accepted Bitcoin as a means of payment in March 2021, the company revised the decision again just two...
Featured6 days ago
Markets May Have Hit a Temporary Top that Could Continue into September
Business6 days ago
Extended Reality Investment Alert: XRApplied (XRA) Conditionally Approved to List on CSE
Crypto5 days ago
Canada Continues to Embrace Cryptocurrencies
Business6 days ago
Why T-Bond Yields Increased in the Past Three Decades