What Is the Status of Cannabis Federal Legislation?
The status of cannabis federal legislation is this: cannabis remains a Schedule I controlled substance under the Controlled Substances Act, so it is illegal under federal law even in states that allow it. Hemp and hemp-derived CBD at or below 0.3% delta-9 THC on a dry weight basis are legal under the 2018 Farm Bill. Congress has not passed a bill that legalizes or reschedules the plant, and the DEA rescheduling review is the main open item.
Is Cannabis Legal at the Federal Level?
No. Federal law classifies marijuana and delta-9 THC as Schedule I drugs. That schedule covers substances with no accepted medical use and a high potential for abuse.
Schedule I status drives three practical results:
status of cannabis federal legislation
- Banks and credit unions face federal money laundering risk when they serve cannabis businesses.
- Section 280E of the tax code blocks standard business deductions for cannabis companies.
- Researchers need extra DEA registration and approvals to study the plant.
Hemp Versus Marijuana: The 0.3% THC Line
The 2018 Farm Bill removed hemp from the definition of marijuana in the CSA. Hemp is the cannabis plant and its derivatives with a delta-9 THC concentration of 0.3% or less.
Cross that line and federal law treats the product as marijuana. The cutoff is based on delta-9 THC, not total THC or THCA, though labs and state regulators may track more than one number.
What Federal Cannabis Bills Are in Congress?
Several bills have cleared committees and floor votes, but none has passed both chambers and reached the President's desk.
SAFER Banking Act
The SAFER Banking Act would shield banks that serve state-legal cannabis businesses from federal penalties. The Senate Banking Committee approved it in September 2023. The House passed earlier versions in 2019 and 2021, and the Senate has not taken up the current bill.
MORE Act and Decriminalization Bills
The MORE Act would remove cannabis from the CSA schedule, add a federal tax, and expunge some prior convictions. The House passed it in 2020 and 2022. It stalled in the Senate both times. Other bills, such as the STATES Act, aim to protect state programs without full legalization.
Hemp and Intoxicating Cannabinoid Rules
Hemp-derived delta-8 THC, THCA, and similar products sit in a gray zone. Congress has debated language that would ban intoxicating hemp cannabinoids at the federal level. A version of that ban appeared in a December 2024 funding package and was removed after hemp farmers and retailers pushed back.
Lawmakers have extended the 2018 Farm Bill to keep hemp rules in force while a new five-year farm bill is negotiated.
Where Does the Federal Rescheduling Review Stand?
In 2023, the Department of Health and Human Services recommended moving cannabis from Schedule I to Schedule III. The DEA opened a formal rulemaking and held hearings before an administrative law judge. No final rule has been issued.
Schedule III would not legalize cannabis. It would place the plant with drugs such as ketamine and anabolic steroids. A move to Schedule III would end 280E tax limits and ease research rules, but state-legal markets would still clash with federal prohibition.
What Does Federal Law Mean for CBD Buyers?
Hemp-derived CBD is legal under federal law when the product stays at or below 0.3% delta-9 THC. The FDA has not set a rule that allows CBD in food or dietary supplements, so most legal sales rest on state rules instead.
Three things to check before you buy:
- A certificate of analysis from an ISO 17025 lab, showing delta-9 THC content and a contaminant panel.
- The THC number on the label, listed as delta-9 THC on a dry weight basis.
- State law where you live, since several states limit or ban certain hemp cannabinoids.
You can carry hemp CBD on a plane in the US. TSA screens for security, not THC content, and federal law permits hemp products. State and local laws at your destination still apply.
Can I Buy CBD Online Under Federal Law?
Federal law does not ban online hemp sales. Hemp is mailable under USPS rules when it contains 0.3% or less delta-9 THC and the shipment follows the law of the destination state. Sellers who ship nationwide publish batch lab reports and track state bans on specific cannabinoids.
How Do State Laws Fit In?
More than 20 states plus the District of Columbia allow adult-use cannabis sales, and most states have a medical program or a low-THC CBD program. Federal prohibition does not block those state laws; it sits alongside them.
This split creates the state-legal but federal-illegal system that runs today. A dispensary can follow state licensing rules in full and still break federal law.
Common Questions About Federal Cannabis Law
Will cannabis be legalized at the federal level soon?
No one can say. Banking reform and rescheduling have more support in Congress than full legalization. Rescheduling through the DEA does not need a vote, which makes it the faster path if it survives the hearing process and legal challenges.
Is CBD legal in all 50 states?
Hemp CBD is legal under federal law, but states set their own rules. Some states ban delta-8 THC and other intoxicating hemp cannabinoids. A few restrict CBD sales to state-licensed outlets.
Does federal law require third-party testing for CBD?
No. Federal law does not mandate third-party testing for hemp CBD, so testing is a seller choice. Reputable brands test each batch and publish the results. The FDA has sent warning letters to companies that make disease claims, which is one reason label language matters.
Can Congress legalize cannabis without the DEA?
Yes. Congress can remove cannabis from the CSA or exempt state-legal programs, as the MORE Act and STATES Act propose. That route needs 60 votes in the Senate under current rules, which is why it has not happened.