Alaska’s commercial marijuana industry application filing period will begin February 24. Many are concerned about the lack of traditional banking options for revenue, and are asking the question: how will the state collect the monthly marijuana excise taxes?
Brandon Spanos: “We encourage them to make payments electronically, they can make it by credit card, they can make it by credit card, they can make it by wire transfer, ACH[automated clearing house] payments, they can send us a check.”
Brandon Spanos, Deputy Director with Alaska’s Tax Division, says although the state recognizes that no banks in Alaska have said they will take monies from marijuana businesses, other states have managed.
Spanos: “We know that in Colorado and in Washington, many businesses are still getting bank accounts and are still paying by electronic means. So just like Washington and Colorado, we are encouraging people to make their payments electronically, if at all possible. It’ll be easier on them, they won’t have to travel to Anchorage if they’re not already in Anchorage.”
The Division is updating their website around February 20 to include a marijuana section for their online taxpayer services.
He says the big problems will arise in smaller communities of the state.
Spanos: “You make a few payments on your credit card and then the banks start saying ‘Wait, you keep bringing this money in and I know that you’re doing marijuana business, and therefore we’re going to stop accepting these cash payments for your credit card, in which case you’re kind of out of luck. Whereas in Colorado you’d just go to a different bank.”
A secure cash drop box will be installed at the Tax Division’s downtown offices in Anchorage for those who do wish to deposit the excise tax each month in person.
The idea of more cash deposit boxes around the state was addressed last year but that option was found to be too costly.