This presentation, “State vs. Federal Taxation: Navigating the Complex Landscape for Cannabis Entrepreneurs,” will explore the unique and often frustrating challenges of managing taxes in the cannabis industry. With cannabis still classified as a Schedule I substance at the federal level, businesses are subject to IRS Code Section 280E, which prohibits the deduction of most ordinary business expenses. However, at the state level, many cannabis-friendly states offer tax relief and deductions that can help ease the burden.
This session will also break down the dual-taxation issue, providing actionable strategies for managing both federal and state tax obligations. Using real-world examples, such as how to maximize deductions through Cost of Goods Sold (COGS) and entity structuring, we’ll demonstrate how businesses can minimize their tax liabilities while staying compliant.
Attendees will also gain insights into how regulatory changes could impact the future tax landscape for cannabis businesses, including the potential repeal of Section 280E. By the end of the presentation, entrepreneurs will be equipped with the knowledge and tools they need to manage their taxes more effectively, prepare for future changes, and keep more of their hard-earned revenue. Expect an engaging, informative, and humorous look at the realities of cannabis taxation that provides clarity in this evolving field.
Whether you’re new to the industry or looking to refine your current tax strategy, this presentation will give you the edge you need to succeed in the complex world of cannabis business taxation.
Marcus Warren, President, 4 Twenty Tax & Accounting
Marcus Warren is a cannabis tax specialist and founder of 4 Twenty Tax & Accounting, a premier tax and accounting firm for cannabis businesses.
As an Enrolled Agent, Marcus is a federally-licensed tax strategist specializing in taxation, and has unlimited rights to represent taxpayers before the IRS. Marcus obtained his law degree from Purdue Global School of Law. He has earned his fellowship through the National Tax Practice Institute (NTPI). He is also a member of the National Society of Financial Educators (NSFE) and the National Ethics Association (NEA).
Marcus has formed several businesses in the financial services industry, and he regularly gives presentations on various financial topics, breaking down complex issues into easy-to-understand concepts.