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…

IRS 280E: A Real Bummer For The Marijuana Industry

The sale or distribution of marijuana is still a crime under federal law.  The impact of IRC § 280E is to limit the taxpayer’s business deductions to the cost of goods sold.

BY LARRY J. BRANT As a general rule, in accordance with IRC § 162(a), taxpayers are allowed to deduct, for federal income tax purposes, all of the ordinary and necessary expenses they paid or incurred during the taxable year in carrying on a trade or business.  There are, however, numerous exceptions to this general rule.  One exception 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…

The Federal Government Is Taxing Marijuana Businesses To Death

Marijuana is big business

DISTRICT OF COLUMBIA:  Voters in four states and Washington, DC, have approved marijuana legalization. But the drug remains illegal under federal law, creating all sorts of legal hurdles that state-legal marijuana businesses have to overcome. One of those hurdles is federal taxes. Due to a section of the tax code known as 280E, many state-legal marijuana Read the full article…