Cannabis is now a Schedule 3 drug, what that means?

Cannabis is now a Schedule 3 drug and what that means.

What this changes for cannabis -

1. Cannabis will no longer be treated as having “no medical value” Schedule I status says a drug has no accepted medical use. Schedule III explicitly recognizes medical use, aligning federal law more closely with state medical programs.

2. Major tax relief for legal cannabis businesses (end of IRS 280E) Currently, because cannabis is Schedule I, businesses cannot deduct normal business expenses. Schedule III would eliminate 280E for cannabis, allowing deductions like rent, payroll, marketing, etc.

3. Still federally controlled — not legalization. Cannabis would remain illegal for recreational use at the federal level. DEA regulation would still apply. Interstate commerce would still be illegal.

4. FDA oversight becomes more relevant. Medical cannabis products could face greater FDA scrutiny, especially around: Manufacturing standards, Labeling, Medical claims, this could favor larger, more standardized operators.

5. Research becomes easier with fewer regulatory barriers for clinical research. More universities and hospitals could study cannabis without Schedule I restrictions. What would not change, State laws stay the same (legal states remain legal; illegal states remain illegal). No automatic expungement or release for cannabis convictions. No federal recreational legalization.