Kym Kemp / Thursday, Aug. 16, 2012 @ 10:06 a.m. / Marijuana and/or Cannabis
Medical Marijuana Dispensaries are Drug Traffickers Says Court And, By the Way, Pay More Taxes
Photo above by Kim Sallaway shows this protestor’s take on Courts and Cannabis
In a decision illustrating the plight of dispensaries and other cannabis businesses, the US Tax Court issued a ruling earlier this month declaring that medical marijuana operations cannot declare standard deductions such as rent. They must pay taxes on money brought in but they are not allowed to claim most deductions because
We have previously held that a California medical marijuana dispensary’s dispensing of medical marijuana pursuant to the CCUA was “trafficking” within the meaning of section 280E. See CHAMP, 128 T.C. at 182-183. That holding applies here with full force…
Congress in section 280E has set an illegality under Federal law as one trigger to preclude a taxpayer from deducting expenses incurred in a medical marijuana dispensary business. This is true even if the business is legal under State law.
To keep abreast of political issues, the musical scene and natural beauty send an email to Kim@KimbaCan.com. He sends out a photo a day. Above is one. And he pointed out the decision mentioned above. Local photographer Kim Sallaway says, “I don’t spam, or share my mailing list. I do share my opinions and imagery.”