In a potentially crushing blow to the burgeoning medical marijuana industry, the IRS has ruled that dispensaries cannot deduct standard business expenses such as payroll, security or rent…
“I see only two outcomes here,” said Steve DeAngelo, director and chief executive of Harborside. “Either this IRS assessment has to change or we go out of business. There really isn’t a middle ground for us”…The IRS ruling is based on an obscure portion of the tax code — section 280E — passed into law by Congress in 1982, at the height of Reagan administration’s “war on drugs.” The law, originally targeted at drug kingpins and cartels, bans any tax deductions related to “trafficking in controlled substances.”
Massive multinational corporations get record low tax rates and have a voice in the government calling for even lower rates (even though they fund human rights abuses in Africa). Meanwhile, small businesses that provide medication for sick people are buried, with the obvious intention of putting them out of business. This is what electing conservatives to office gets you.
Just more bullshit in the world. Congress needs some medical marijuana and pizza. Maybe they’d chill out?