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The USDA is reminding retailers that accept federal welfare benefits that they can't sell products containing cannabis to people using SNAP funds. Violators could face penalties. The USDA is fighting fraud and protecting taxpayer dollars.

Feds Warn Retailers Against Accepting Welfare Benefits for Cannabis or CBD Purchases

Jun 9, 2025

Source:

Kyle Jaeger

Marijuana Moment

The USDA is putting a serious damper on things with a new warning to over 250,000 retailers: SNAP benefits and cannabis don't mix. Federal officials are reminding shops that accepting food stamps for anything containing marijuana or even CBD is a major violation that could lead to heavy fines or even criminal prosecution. While this has technically been the policy for a while, the feds have been busy updating their rulebooks and sending letters to make sure everyone knows they are "rooting out" these transactions. Even though hemp is federally legal, the USDA still classifies most infused products as ineligible for welfare funds.

This news is a major bummer for our community because it disproportionately affects low-income folks who might rely on CBD for wellness but can't use their assistance to cover it. It is a stark reminder that even as more states go green, the federal government is still holding onto old-school restrictions. For the industry, it shows that "big brother" is still watching closely, making full federal reform the only real way to ensure everyone has fair access to the plant.

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