Financial Valuations Of Businesses That Sell Marijuana And Financial Fraud Investigations Highlight AICPA’s 2017 Forensic and Valuation Services Conference

Marijuana is big business

NEVADA: Discover insights on everything from how forensic accountants ferret-out financial fraud to how valuation professionals decipher the value of high-profile celebrity estates at the American Institute of Certified Public Accountants (AICPA) Forensic and Valuation Services Conference. When and Where: Nov. 13-15, 2017, at Caesars Palace, Las Vegas (Online access available) Experts pull back the curtain to provide insights on topics Read the full article…

What Every Cannabis Business Needs To Know About IRS Form 8300

If you any person in a trade or business receives a payment of $10,000 or more in any single transaction or series of transactions they are required to file a form 8300 within 15 days of receiving the cash.  Please note that a “person” includes an individual, a company, a corporation, a partnership, an association, a trust, or an estate.  You should also be aware that “cash”  includes cashier’s checks, money orders, bank drafts and traveler’s checks.

By Dean Guske, CPA I have received a number of emails and phone calls over the past couple of days regarding the article posted in MJ Biz Daily on Tuesday.  I was actually contacted last week by the author who wanted to know if I was seeing any audit activity in Washington and Oregon in Read the full article…

Oregon House Bill 4014 Signed Into Law by Governor Kate Brown

House Bill 4014 Signed Into Law by Governor Kate Brown

by Larry J. Brant  As reported in my November 2015 blog post, in accordance with Internal Revenue Code (“Code”) Section 280E, taxpayers (for purposes of computing federal taxable income) are prohibited from deducting expenses related to the production, processing or sale of illegal drugs, including marijuana. A Bit of Welcome Relief? Measure 91, officially called the Control, Read the full article…

San Diego Medical Marijuana Dispensary Hit With $1.8-Million Fine

Study: Cannabis and mental illness

CALIFORNIA:  A Pacific Beach medical marijuana dispensary has been hit with a $1.8-million penalty for operating outside of San Diego‘s zoning regulations, the largest fine against a dispensary in city history. That more than doubles the total amount of dispensary-related judgments the city has collected to date. On Nov. 20, San Diego County Superior Court Read the full article…

IRS Position On 502 Excise Taxes – “Don’t Count Excise Tax Amount As Income”

"If you any person in a trade or business receives a payment of $10,000 or more in any single transaction or series of transactions they are required to file a form 8300 within 15 days of receiving the cash.  Please note that a “person” includes an individual, a company, a corporation, a partnership, an association, a trust, or an estate.  You should also be aware that “cash”  includes cashier’s checks, money orders, bank drafts and traveler’s checks.

Rachel Kurtz WASHINGTON: Dean Guske, CPA to many marijuana businesses in Washington State (and around the country),  and his firm, Guske & Company, have been taking the position with their clients since the beginning of the year that the 502 excise taxes DO NOT have to be counted as income when 502 Cannabis businesses file their Read the full article…

‘Pot’ Church Wins Tax-Exempt Status

Levin’s new church may need the money: It’s still looking for a place to lease so it can hold its first church service on July 1, when Levin promises that worshippers “will light up” and fill the sanctuary with marijuana smoke.

INDIANA:Peace, love, pot and a tax deduction. It’s not exactly the Holy Trinity but it’s what the First Church of Cannabis hopes to offer supporters now that it’s incorporated as a tax-exempt religious organization. Bill Levin, who founded the church to test Indiana’s new religious freedom law, was notified earlier this week that the Internal Read the full article…

IRS Deal Will Refund Fines To Denver Pot Shop That Pays Taxes In Cash

The IRS has backed away from a policy that penalized an unbanked marijuana business in Denver for paying taxes in cash.

COLORADO: The Internal Revenue Service has backed away from a policy that penalized an unbanked marijuana business in Denver for paying taxes in cash, but the federal agency will not say if the approach applies industry-wide. In a settlement with Denver-based Allgreens, a medical-marijuana dispensary that challenged the agency over its policy, the IRS said Read the full article…

Tax Time Hits Hard For Marijuana Businesses

Cannabis businesses face a different issue at tax time that a marijuana tax expert refers to as the 280E problem.

COLORADO:  It’s tax time and small business owners all over America are digging out their receipts for deductions, except marijuana business owners because most deductions aren’t for them. Some of the top tax deductions for small businesses include advertising, office supplies, utilities, business entertaining and legal fees. But cannabis businesses face an different issue that Read the full article…

IRS Advice On Marijuana: Deduct It…But Prepare For 50% Tax

even legal medical marijuana businesses have big federal income tax problems: tax evasion if they don’t report, and a considerably smaller risk of criminal prosecution if they do.

DISTRICT OF COLUMBIA: Four states have legalized recreational marijuana, and 23 states plus the District of Columbia have legalized medical use. But federal law still classifies it as a controlled substance, regardless of how legal it is in the states. There’s a lot more than taxes at stake, since federal drug crimes and seizures are nothing Read the full article…

IRS Advisory Council OKs Marijuana-related Businesses For Accountants

"With over 20 states allowing medical marijuana and now states beginning to legalize recreational marijuana, this industry needs qualified, ethical professionals to help them fulfill their income tax obligations." IRSAC concluded, "...tax professionals need reassurance regarding their own roles in giving tax advice to and preparing tax returns for such businesses."

DISTRICT OF COLUMBIA: On Wednesday the IRS Advisory Council (IRSAC) released a report making a number of observations and recommendations to the Internal Revenue Service and federal policy makers relating to the need for greater latitude and legal protections (under the current federal anti-marijuana laws) for tax professionals who choose to work for clients who are in Read the full article…