Hemp machines in Salzburg: dealers fear the ban on sales!

Hemp machines in Salzburg: dealers fear the ban on sales!

Airportcenter, Salzburg, Österreich - In Salzburg, the situation for hemp blossom sellers has changed dramatically. According to a current judgment of the Administrative Court, smokable hemp blossoms-even those with a THC content of a maximum of 0.3 percent-must be subject to tobacco tax in the future and may only be offered in tobaccory. So far, these products have been legally sold in hemp shops and machines. These sharp regulations have far -reaching consequences for the dealers who benefited from a lucrative business a few weeks ago. As ORF reports, customers have been looking for hemp flowers in the machines and shops since the beginning of February, which places many traders into an existential crisis.

The operators of the hemp shops are forced to take drastic measures. Thomas Reisenhofer, Managing Director of Hanfomat, stated that employees had to be released in his company and that his sales have decreased by up to 80 percent due to the loss of hemp flowers. "We had to terminate two employees last week," said Reisenhofer. However, the chairman of the tobacco guards, Hannes Auer, is surprised by the negative reactions and explains that the court's decision was not a surprise because the regulation regarding income tax has long been known.

financial effects and future perspectives

An additional risk for the dealers consists in a possible retroactive tax liability. According to the Federal Ministry of Finance, dealers could expect legal consequences for sales of the past three years, since there may be a levy in the amount of the tobacco tax. While the operators of the hemp machines are now looking for alternative products such as tobacco bags, it remains unclear whether they can compensate for the high loss of sales. The Administrative Court demanded an immediate implementation of the judgment, which immediately leads to uncertainty in the market.

It is also on the brink whether the business owners concerned have to refund or even destroy their products. Returning to wholesale is inadmissible in monopoly law, which creates new problems for dealers. Future controls by the customs office have already been announced to ensure that the new regulations are observed. The regulations of the tobacco monopoly law show clear effects on the market and endanger the survival of many hemp sellers in Austria. (orf) (BMF)