Cannabis federal law review: the two product groups

Cannabis sits in Schedule I of the Controlled Substances Act, 21 U.S.C. § 812. Federal law lists it as a drug with no accepted medical use and a high potential for abuse. That listing has not changed. Hemp is the one carve-out. The 2018 Farm Bill removed hemp from Schedule I and set the line at 0.3 percent delta-9 THC on a dry weight basis.

Cannabis Federal Law Costs: A Comprehensive Guide

Every purchase in the United States falls into one of two groups: hemp at or below 0.3 percent delta-9 THC, and cannabis above that line. State licenses, dispensary menus, delivery rules, and lab tests sit on top of that split.

cannabis vs hemp federal law

Pick first: hemp-derived THC at or below 0.3 percent

A federal statute names this category. That is the reason online sales can cross state lines. The 0.3 percent figure is a ratio of delta-9 THC to dry weight, not a milligram cap per package. State law applies as well. A handful of states ban hemp-derived THC or cap it at lower levels, so check the destination state before ordering.

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What to check on a label: delta-9 THC percentage, total THC, batch test date, and a certificate of analysis from an accredited lab.

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Option two: state-licensed dispensary, in store

Cannabis above 0.3 percent delta-9 THC stays illegal under federal law even where a state licenses it. The Rohrabacher-Blumenauer appropriations amendment, in place since 2014, bars the Justice Department from spending funds to stop states from carrying out medical cannabis programs. The rider runs one fiscal year at a time and covers medical programs. Adult-use programs have no matching protection.

Option three: medical card in a legal state

A state medical card changes state law, not federal law. Federal possession remains a federal offense. Federal charges against patients who follow state medical rules are rare. That describes enforcement practice, not a legal shield.

Option four: CBD isolate with no detectable THC

CBD isolate tests at zero THC and stays inside the hemp definition. The FDA has not approved CBD as a food additive, so interstate food and drink sales sit in a gray zone. FDA has approved one CBD drug, Epidiolex, for seizures.

Federal items with a paper trail

  • 1970: The Controlled Substances Act places cannabis in Schedule I.
  • 2013: The Cole Memo sets federal enforcement priorities. The Justice Department rescinded it on Jan. 4, 2018.
  • 2014: The Rohrabacher-Blumenauer amendment takes effect, renewed each fiscal year since.
  • 2018: The Farm Bill removes hemp from Schedule I.
  • Aug. 29, 2023: HHS recommends Schedule III to the DEA.
  • May 21, 2024: DEA proposed rule 89 FR 44697 would move cannabis to Schedule III. It is not final.
  • Sept. 2023: The SAFER Banking Act passes the Senate Banking Committee. It has not become law.

What the federal rules do not settle

Interstate shipment of state-legal cannabis above 0.3 percent remains a federal crime. Banks face limits on cannabis accounts while SAFER sits in committee. Section 280E of the tax code blocks deductions for businesses that traffic in Schedule I and II substances, which raises the effective tax rate on dispensaries. Schedule III would end 280E and leave federal possession rules unchanged.

Firearm possession is a separate matter. 18 U.S.C. § 922(g)(3) bars gun possession by users of controlled substances. The Fifth Circuit ruled that provision unconstitutional as applied in United States v. Daniels (2024). Other circuits have ruled the other way. The question is unresolved.

Bottom line

Federal law treats hemp and cannabis as two different products, and the 0.3 percent delta-9 THC line is the test. Hemp-derived products are the steadier option for online orders. State-licensed cannabis above that line remains a state-law product with federal exposure. The rescheduling rule is pending, not final.