California State Will Begin to Feel a Larger Reward From Cannabis in January GrowFlow Compliance Software Predicts
SEATTLE, November 20, 2018 (Newswire.com) - While Colorado, Washington, and Nevada are showing large tax revenues and have strict regulations related to inventory management, audits, and taxes. GrowFlow, Washington’s most popularly used inventory tracking software system, estimates that California is going to start seeing taxes- and soon.
“In 2017 Washington state saw $319 million in licensing fees and excise tax, it has completely transformed the perception of the legal cannabis market in our state,” Rufus Casey, CEO of GrowFlow states. “We have several users in California that are tracking their products appropriately, but we are waiting for the state to begin issuing annual licenses.”
Casey refers to the California Track-and-Trace program, that was initially scheduled to launch in July 2018 alongside the issuance of annual licenses. “California regulates the complexity of cannabis inventory tracking by using Metrc, a software designed as a tool for government agencies to regulate legal cannabis. At GrowFlow, our customers are the license holder, we make this process easier.”
In 2017 Washington state saw $319 million in licensing fees and excise tax, it has completely transformed the perception of the legal cannabis market in our state.
As soon as California begins to issue annual licenses and monitor the sales and movement of legal cannabis, it is expected to continue to rise as licensees comply with state regulations. In January California’s Legislative Analysis Office estimated that $175 million would be collected by the state in 2017-2018, while first quarter earnings disappointed with only $34 million. But there is plenty to be hopeful for that this early forecasting was a result of slow trends and systems for proper inventory tracking. The state is now seeing an average of 33% increase in collected excise tax month over month.
Inventory tracking through GrowFlow is optional, they connect to the state system through API and make the process easy for licensees to follow the state regulations and have features like custom label editors, pull sheet and invoice creation, QuickBooks integration and tools to manage and contact retail stores. Large organizations like Los Angeles Farmers, a cultivation that produces products for the popular Los Angeles based brand Jungle Boys, used GrowFlow to make their operation run smoothly and others have followed suit. While the state has only begun to issue annual licenses to temporary license holders, licensees are trending toward the side of caution. “January is the new July,” Casey states, “licensees are thinking that this is when the state begins to initiate annual licenses, and with that comes a bigger responsibility to the state. We see an evolution in California, where it is beginning to look more and more like the recreational, highly tracked, regulated market. Our company goal is to make that easier when the state is ready.”
CONTACT: CARLY BODMER,
DIRECTOR OF COMMUNICATIONS, GROWFLOW
206-494-4689 ext. 704