Ouch!! Federal Court Holds That Marijuana Dispensary May Not Deduct Business Expenses When Determining its Income for Income Tax Purposes

In Olive v. Commissioner of Internal Revenue 792 F. 3d 1146 (7/9/15), the Ninth Circuit recently upheld the decision of the U.S. Tax Court which precluded a marijuana dispensary from deducting any ordinary or necessary business expenses when determining its income for income tax purposes.  The Vapor Room Herbal Center is a medical marijuana dispensary in San Francisco owned by Martin Olive.  … Read More

420 Employees

The California legislature recently enacted the Medical Marijuana Regulation and Safety Act.  The Act consists of three separate bills which create a comprehensive state licensing system for the commercial cultivation, sale, transport, and distribution of medical marijuana.  Assuming the Act is signed into law by California’s Governor Jerry Brown, January 1, 2016 is its effective date.  Any person operating pursuant … Read More

Series of Medical Marijuana Bills Pass Legislature

On September 11, 2015, the California Legislature passed a series of bills creating a comprehensive regulatory framework for the Medical Marijuana Industry in California. Amended versions of Senate Bill 643, Assembly Bill 266, and Assembly Bill 243 passed and have been sent to the Governor’s Office for his signature. The series of bills creates a licensing framework for medical marijuana … Read More

Humboldt Needs to Be Ready for AB 266

Janssen Malloy LLP represents a number of local wine and craft beer businesses and has become familiar with the regulatory and licensing rules that must be followed in order for businesses to comply with the law and succeed.  Those rules and regulations have not applied to the marijuana industry in California.  But comprehensive marijuana regulation was a matter of time … Read More