News » Over 63% of Sacramento Dispensaries Close Their Doors

October 31, 2011 by justin

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Sacramento was at the center of California’s so called “Green Rush”, however with the federal government’s latest crackdown on medical marijuana dispensaries, many are shutting down their businesses.

There were 99 dispensaries operating in Sacramento at the beginning of the year, enough that the city felt it needed to ordinances to regulate them. The city no longer feels that is necessary as 63 of the dispensaries are now closed, leaving only 36 open today.

Although the county had been taking dispensaries and their landlords to court over zoning laws, it was the recent move by the Obama administration that bullied most of the closures. Many agencies are participating in the attacks – IRS has stated that they will not allow standard business deductions for dispensaries, billing them millions in back taxes, and the DEA has again started raiding dispensaries.

[source Sacramento Business Journal]

Tags: California, dispensary ban, Sacramento