Legal Cannabis

 

Recreational marijuana sales are now legal in 10 states. Medical marijuana sales are legal in 33 states.

While it is legal in the States, it is still considered a Class 1 substance for Federal purposes. This means IRS Code Section 280e applies. 280e states that Cost of Goods are deductible, but nothing else.

Taxman & Associates has prepared numerous Tax Returns for many cannabis clients, and is ready to optimize your taxes using best-practice methods to determine what is considered Cost of Goods for Section 280e.