Legal Marijuana Faces Another Federal Hurdle: Taxes
Published on May 8, 2015
Any business owner can tell you about the struggles of income tax, but legitimate state legal marijuana businesses are suffering major hits. The IRS is taking advantage of laws still in effect that prevent legal businesses from deducting rent, employee salary, or utility costs sometimes resulting in 70% taxable income. Dispensary owners just want to be treated as any other business. It may take some time for the politics to catch up, but legitimate businesses deserved to be treated equally.
“It is the last domino that has to fall for us to be treated like any other business in the country,” said Tim Cullen, a co-owner of five marijuana shops in Colorado. “We’re not a black-market cocaine dealer. We’re totally on board and on the level. We’d like to be treated as such.”