b'ComplianceLEGAL NUTRITIONCouncilmanagement reviews be performed byof New Jersey. However, this statutoryJersey and issue fully funded insurance one or more providers of the samemandate continues to be violated inplans in this state. specialty (i.e. chiropractic) at thethis state which prompted the ANJC to ANJC Leadership ANJC Leadership second level of internal appeals.recently meet with the commissioner ofIt is recommended that all New Jersey In conclusion, the inclusion of theNUTRITION chiropractors review their utilization LEGAL EASE the Department of Banking and Insur- management denials to ensure this requirement that It shall be unlawfulance to inform them of this widespread for any person, not duly licensed inviolation of the law and request actionstatutory provision is being complied this State to practice chiropractic, .be taken. The DOBI commissioner waswith. If not, it is a chiropractors orto render a utilization managementreceptive to this request and the ANJCtheir patients legal right to file a decision that limits, restricts or curtailswill follow up in short course to ensurecomplaint with the New Jersey a course of chiropractic care was athis statutory mandate is compliedDepartment of Banking and Insurance tremendous victory for chiropractorsREHAB Council with by all insurance carriers and theirto notify NJDOBI of this statutory and chiropractic patients in the Stateadministrators who do business in Newnon-compliance. or other purposes. It also puts noof more than 50 percent fruit juice are LEGAL Q&A CHIROASSISTrestrictions on the sale, transport, ornot taxable while beverages with less possession of hemp-derived products,than 50 percent fruit juice are taxable. Executive Directors UPDATE so long as those items are produced inFurther, unsweetened bottled water is By Jeffrey Randolph a manner consistent with the law. not taxable while sweetened water is ANJC Legal Counsel taxable. To ensure you are complying The Farm Bill does not create awith the New Jersey sales tax laws, I QIs it legal to sell cannabidiolcompletely free system in which indi- recommend you reference the listings (CBD) oil products as aviduals or businesses can grow hempof taxable and tax-exempt items in the Legislative Update whenever and wherever they want.New Jersey Division of Revenues Sales supplement in New Jersey as a There are numerous restrictions. Any Tax Guide, Publication S&U-4, available INSURANCE Update INSURANCE Update chiropractor?cannabis plant that contains more thanat: www.state.nj.us/treasury/taxation/ACannabis and all of its derivatives,0.3 percent THC would be consideredpdf/pubs/sales/su4.pdf.including CBD oil, remain anon-hemp cannabisor marijuanaTECHNIQUE CouncilSchedule I drug under federal law. under federal law and would thusQWhat is the New Jersey However, over the past 22 years, 33face no legal protection under this newCodey Law and how does it states have legalized cannabis forlegislation. The law further outlinesimpact chiropractic practice?medical purposes, and over the past sixactions that are considered violations years, 10 states have legalized cannabisof federal hemp law (including suchANew Jerseys Codey Law, MedicareQ&Afor adult use. Every one of thoseactivities as cultivating without anamed after its senate sponsor, programs is technically illegal underlicense or producing cannabis withOUR HEALTHSen. Richard J. Codey (D-Essex), was federal law. However, on Dec. 20, 2018,more than 0.3 percent THC). The lawenacted in 1989 to prohibit healthcare President Donald Trump signed into lawdetails possible punishments for suchproviders from referring patients to the federal Farm Bill. Hemp is definedviolations, pathways for violators tohealth care services in which the in the legislation as the cannabis plantbecome compliant, and even whichprovider has a significant beneficial with one key difference: hemp cannotactivities qualify as felonies under theinterest, a practice known as self-contain more than 0.3 percent oflaw, such as repeated offenses.referral, N.J.S.A. 45:9-22.4. The law defines a health care service as any THC. For decades, federal law did notQIf I sell nutritional supplementsbusiness entity which provides inpatient differentiate hemp from other cannabisin my office, am I required to plants, all of which were effectivelycharge sales tax on these sales? or outpatient services related to the made illegal in 1937 under thetesting, diagnosis or treatment of Marijuana Tax Act and formally madeAThe general answer is that no,human disease or dysfunction. The law illegal in 1970 under the Controlledyou do not have to charge salesfurther defines a significant beneficial Substances Act. However, hemp is legaltax on nutritional supplements sold in ainterest as any financial interest under the billwith serious restrictions.chiropractic office. However, there areexcepting financial interests in leases The law allows hemp cultivation broadly,some exceptions to this general rule.and publicly traded securities. The not simply pilot programs for studyingFor example, if what you are selling isCodey Law impacts chiropractors by market interest in hemp-deriveddeemed candy, it is taxable. Energy/ preventing them from referring patients products. It also explicitly allows thegranola bars may be deemed candyfor any health care service to another transfer of hemp-derived productsdepending on their ingredients. Inbusiness in which they or any family across state lines for commercialaddition, beverages that are comprised[ CONTINUED ON PAGE 9]www.njchiropractors.com I 7'