Actor Woody Harrelson and comedian Bill Maher are calling on California officials to ease tax burdens on marijuana businesses, arguing that current policies make it unnecessarily difficult for legal operators to succeed.
Speaking on Maher’s podcast, released on April 20—widely celebrated as cannabis culture’s unofficial holiday—the two co-owners of The Woods dispensary and consumption lounge in West Hollywood voiced frustration with what they described as excessive taxation and regulatory hurdles.
“California sucks as far as—look, all businesses, but certainly this one,” Maher said, criticizing how the state handles cannabis. “They still treat it like it’s poison.”
Harrelson echoed that sentiment, arguing that legal marijuana businesses are being unfairly penalized despite operating within state law. “They treat it like you’re lucky that we allow you to do this,” he said, adding that effective tax rates can reach levels he believes far exceed those imposed on other regulated goods.
Cannabis in California is subject to a 15 percent state excise tax at the point of sale, in addition to local taxes that vary by jurisdiction and standard sales taxes. Businesses also face licensing fees and additional taxes throughout the supply chain.
Harrelson also pointed to federal tax code restrictions, specifically Section 280E, which prevents cannabis companies from claiming many standard business deductions because marijuana remains illegal under federal law. While California has taken steps to allow such deductions at the state level, the federal limitation continues to impact operators’ bottom lines.
Maher highlighted another long-standing issue: limited access to banking services. Because of federal prohibition, many financial institutions have historically avoided working with cannabis businesses, forcing some operators to rely heavily on cash—a situation that has made dispensaries targets for theft.
That risk became personal for the pair when their West Hollywood business was burglarized as part of a broader wave of crimes targeting cannabis retailers in the region.
Both Harrelson and Maher have been outspoken advocates for marijuana reform. Harrelson previously urged Gov. Gavin Newsom to approve legislation allowing cannabis cafes, which was ultimately signed into law.
Despite ongoing regulatory challenges, the two say they remain committed to the industry—but hope policymakers will adopt a more business-friendly approach as legalization continues to evolve.
Read the whole article from Marijuanamoment here.
