As the country grapples with the COVID-19 pandemic and drastic changes to the business environment, some cannabis companies have decided to pitch in and use some of their manufacturing and processing capacity to produce hand sanitizer. In California, companies such as CannaCraft and The Galley have converted portions of their processing facilities to produce hand
cannabis businesses
Section 280E Litigation Update: Harsh Results for Resellers
By Fox Rothschild LLP on
Posted in Federal Law and Policy, Tax Issues
In the latest Tax Court opinion addressing the application of Section 280E to cannabis businesses there is no good news. However, there is some new guidance. In Patients Mutual Assistance Collective Corp. v. Comm’r, 151 T.C. No. 11, the taxpayer made a litany of arguments to convince the court that their business, or…