Welcome to the "New Media" Revolution!

New Media on Ulitzer

Subscribe to New Media on Ulitzer: eMailAlertsEmail Alerts newslettersWeekly Newsletters
Get New Media on Ulitzer: homepageHomepage mobileMobile rssRSS facebookFacebook twitterTwitter linkedinLinkedIn


New Media Authors: Aelvish Manvar, Suresh Sambandam

Related Topics: Twitter on Ulitzer, New Media on Ulitzer

News Feed Item

Medical Marijuana, Inc. Signs 1st Medical Marijuana Collective to Use the Tax Remittance Card

MARINA DEL REY, CA -- (Marketwire) -- 05/15/09 -- Medical Marijuana, Inc. (PINKSHEETS: MJNA) is happy to announce that it has signed the first Memorandum of Understanding with a marijuana collective in Southern California to use Medical Marijuana, Inc.'s patent pending, stored value, tax remittance card. Bruce Perlowin, CEO of MJNA, says, "This is just the beginning of a massive marketing program to educate the dispensary owners to the benefits of this program. There are close to 1,000 dispensaries in California today that our Master Agents have begun contacting regarding utilizing our card. With 14 states now going through a process to permit medical marijuana in their state, MJNA is set to capture a good piece of this market as states continue to permit medical marijuana. With revenue in the 4% area, and with the average dispensary doing 1 million dollars a year in sales, we project substantial earnings."

This follows our business plan which includes the Stored Value Card for tax remittance, a merchandising division to promote many of the cannabis related products, clothing lines, distribution, and the testing platform which we hope will standardize the industry with quality control.

Tax Remittance

This Stored Value Platform System will provide verifiable solutions for an inter-agency approach to manage the difficult task of Revenue and Taxation Collection for the Emerging Medical Marijuana Industry.

Using this new invention, the "Point of Sale" System will recognize the dispensary's tax ID number and tax rates for the state and local taxes as well as provide "Automated Clearing House" (ACH) settlement of the taxes to the proper financial institutions.

Taxability of Medical Marijuana Transactions

In February 2007, the California State Board of Equalization (BOE) issued a Special Notice confirming its policy of taxing medical marijuana transactions, as well as its requirement that businesses engaging in such transactions hold a Seller's Permit. According to the Notice, having a Seller's Permit does not allow individuals to make unlawful sales, but instead merely provides a way to remit any sales and use taxes due. BOE further clarified its policy in a June 2007 Special Notice that addressed several frequently asked questions concerning taxation of medical marijuana transactions.

Solutions

Plastic debit cards or medical revenue cards are supplied to the Medical Marijuana Dispensary (or Collective/Co-op as they are legally designated in California). The customers of the dispensary are issued the closed loop "Stored Value Card" (SVC). This "Stored Value Card" (SVC) is loaded for the customer by tendering cash to the Dispensary clerk. The Dispensary clerk will load up the new card for the customer using the "Point of Sale" (POS) System which will also recognize the dispensary location, as well as tax rates for the appropriate government agencies.

Advantages

The ease of access to certifiably secure transactions lessens the risk of loss at each level of the transaction. Users and operators are empowered and Government Agencies are more confident in assuring their collection of taxes and fees while secure in the function of financial interactions.

Dispensary Owners are more comfortable knowing all transactions are made with a stored value card. This reduces the losses associated many times with cash transaction businesses.

MJNA conducts daily conference calls to its Master Agents that are engaged in offering the provisional patent, tax remittance, stored value card to dispensaries and co-ops in California and other states where medical marijuana is, or soon may be, legal. The conference calls explain the tax remittance card in regards to how it works as a solution for the taxing of medical marijuana and the numerous other features inherent in this technology.

For anyone interested in listening in, and asking questions on how the tax remittance card works, you can do so any day this week at 4:20 PM California time, calling the conference line via: 218-339-3600 PIN: 321677#.

About Western Caregivers Group Co-operative

Western Caregivers Group Collective (WCGC) was reopened by a group of patients that believe in the efficacy of Medical Cannabis and the need for small storefront locations for people in need to come and not only get Safe Access to the medicine but also enter into a social environment that can help make a sick persons quality of life improve (and operates as a not for profit cannabis collective).

"We believe that there is something almost magical about the right environment and cannabis that makes for the best outcome for all patients involved. We support the MMJ Movement Actively on a regular basis. We have been active in helping to form regulation in Los Angeles and have participated in almost every rally and protest since 2004 and will continue to do so until we see effective change in local, state and federal law regarding MMJ." Lenny Fisher, WCGC Director.

About the Company

Medical Marijuana, Inc. is the first publicly traded company in US history to enter the medical marijuana industry and is positioned to take advantage of opportunities as they appear in the emerging and legal medical marijuana arena.

Safe Harbor: This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approvals for anticipated actions.

For further details, contact:
Bruce Perlowin
Email: Email Contact
www.medicalmarijuanainc.com
www.twitter.com/medmarijuanainc

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.