Cannabis Tax Issues  

To work in the cannabis industry, it is essential for CPAs and business advisors to have a basic understanding of how it operates and the challenges it presents. It is an extremely complex industry and very heavily taxed. Chapter 1 presents an overview of the cannabis industry including history, state and federal treatment, operations and tracking. Chapter 2 presents the reporting of gross income rather than gross receipts, inventory accounting methods, allocation of inventoriable costs, tax return presentation, and additional cost-allocation considerations. Chapters 3 and 4 explore the Harborside Health Center and Alternative Health Care Advocates cases. Lastly, chapter 5 presents tax strategies. This basic level course is most beneficial to professionals new to taxation of the cannabis industry who may be at the staff or entry level in organization but also for a seasoned professional with limited exposure to this topic.