Rachel Wright, CPA MST, Co-Founder of AB FinWright LLP, will examine tax opportunities and pitfalls for today’s cannabis businesses.
It’s 2023, and the cannabis tax landscape is in flux. The IRS, with its anti-drug statute 280E, which disallows almost all business deductions other than Cost of Goods Sold, makes running a profitable cannabis business a very challenging task. Meanwhile, state governments now shower cannabis companies with blessings on the one hand through support and incentives for (mostly) equity cannabis businesses, while spreading curses with the other hand in the form of higher taxes and marginal support against illegal, rogue competitors. Rachel Wright, CPA MST, Co-Founder of AB FinWright LLP, an OG cannabis accounting firm that’s been serving the cannabis community since 2009, will examine tax opportunities and pitfalls for today’s cannabis businesses. She’ll discuss the latest tactics available to combat the 280E, including utilizing R&D tax credits and specialized accounting tactics based around Section 471(c). On the state level, she cover various tax incentives available in such states as New York, New Jersey, and Connecticut, as well as some new ones offered by California. Finally, Rachel will answer the often-asked question by cannabis entrepreneurs: which state today is the most tax friendly towards cannabis businesses.