Fintech & Marijuana: This California City Is Using Monarch Technologies For Its Cannabis Tax Management
Desert Hot Springs, California is outsourcing its cannabis tax management to Monarch Technologies, a leader in cannabis payments and compliance solutions. The company announced the partnership, that aims to improve regulatory compliance and optimize tax revenue collection through Monarch’s tax management software.
In an exclusive interview with Benzinga, Christian Fea, Monarch Technologies CEO & co-founder, shared details about this collaboration. He also talked about the impact on the often overlooked cannabis fintech sector.
Addressing Tax Compliance Challenges
“Cities, counties, and states face increasing complexity in calculating, assessing, collecting, and remitting fee revenue from cannabis businesses,” Fea said. “Most of these government entities have passed legislation, ordinances, and regulations in the past five years which technologically often piggyback on the back end of old legacy software systems.”
Surprisingly, Fea said that many municipalities still rely on outdated, unreliable methods like Excel spreadsheets or do it by hand. Monarch’s compliance system automates their entire process, solving these issues and making tax systems more reliable.
Fea explained how Monarch nabbed the contract after joining the League of California Cities in 2023, representing most of the 482 cities in the state. The League advocates for cities on key topics, relevant policy and tax issues. …