On December 22, 2017, the Tax Cuts and Jobs Act (“The Act”) otherwise known as PL-115-97, was signed into law. The Act is the most significant overhaul of the U.S. Tax Code since 1986 and is effective beginning in 2018. Accordingly, cannabis businesses need to understand now how the new tax law affects their business.
The United States Court of Appeals for the Ninth Circuit recently ruled on its second tax case regarding IRC §280E. Decisions from the Ninth Circuit are significant as they apply to the cannabis-friendly states of Alaska, California, Nevada, Oregon; and Washington. In Canna Care vs. the Commissioner, the Court of Appeals upheld the United States Tax
So you went and started a cannabis business. Congratulations! Now, here’s a question for you: what’s it worth? And if you don’t mind us asking: how did you make that determination? Is it supportable? Recently, we have written about the future of cannabis funding and the basics of investment rounds. The valuation question looms large
When it comes to marijuana and taxes, there is no bigger buzzword than “280E.” However, there is still a lot of confusion about what exactly 280E is and does. In reality, section 280E is a single sentence of the Internal Revenue Code. It states: “No deduction or credit shall be allowed for any amount paid
The marijuana industry is finally beginning to experience meaningful movement on the national level, slowly chipping away at federal prohibition. With the most recent Cole Memo, FinCEN guidelines, legalization in two additional states and D.C., improving Veteran access to cannabis for medical use, and a tiny take-down of at least one significant federal barrier to marijuana
