
The rules that apply to the medical marijuana industry are different and accounting for these kinds of businesses is also different. In fact, the tax laws are more complex when compared to regular businesses. There is a specific section in the federal tax code known as the 280E which applies solely to marijuana businesses. Having an understanding of this section can help businesses get better tax returns. This section helps business understand which expenses are deductible and which are not deductible when filing for tax returns.
A good marijuana business accounting firm can work to minimize the taxes that you are otherwise supposed to pay to the federal government. They can help you maximize your profits and at the same time operate in compliance with the federal laws.