Appealing An I.R.C. § 280E IRS Tax Audit While the sale of cannabis is legal in California as well as in a growing number of states, cannabis remains a Schedule 1 narcotic under Federal law, the Controlled Substances Act. As such businesses in the cannabis industry...
Another Cannabis Business Hit Hard By I.R.C. Section 280E In U.S. Tax Court I.R.C. § 280E disallows all trade or business expense deductions for a cannabis business even though the cannabis business operates legally under state law. As more “280E Tax Audits” make...
Kern County Sheriff’s Office Seizes 10 Million Marijuana Plants In 11 Hemp Fields Anyone conducting business in cannabis surely knows that under Federal law (Controlled Substances Act 21 U.S.C. 801) marijuana is designated as a Schedule I controlled substance due to...
What To Look For In Hiring A Cannabis Tax Lawyer With the legalization of medical and recreational cannabis in California there has been an increase in inquires to our office by people who are just entering into the cannabis market place or looking to provide services...
IRS Targeting Cannabis Businesses With “280E Audits” We previously reported in our blog that the Trump Administration organized a committee of federal agencies from across the government to combat public support for marijuana and cast state legalization measures in a...
California Cannabis Tax Relief Is Here! California Governor Gavin Newsom signed a bill into law that will approve cannabis companies for tax deductions that have otherwise been denied them under IRC Section 280E. This law give legal cannabis businesses a tax break to...
Why Taxpayers Involved In Offshore Accounts, Crypto-Currency Or Cannabis Should Be Filing An Extension For Their 2018 Income Tax Returns. If you did not report your offshore accounts, crypto currency income or cannabis income earned before 2018, you should hold off on...
Why Is Taxation Related To Cannabis Businesses So Complicated? Beware 2019 Could Be A Banner Year For IRS Audits Of Cannabis Businesses. We previously reported in our blog that the Trump Administration organized a committee of federal agencies from across the...
Top Tips When Selling Your Cannabis Business It’s a big reward to get a lucrative offer when some big company wants to buy your cannabis business but it is important that you consider any offer carefully to make sure you are getting what you bargained for. Consider...
Attention Cannabis Businesses - Be Prepared To Prove Your Deductions To The IRS Generally, businesses can deduct ordinary and necessary business expenses under I.R.C. §162. This includes wages, rent, supplies, etc. However, in 1982 Congress added I.R.C. §280E. Under...
