the tax man

[rollzone]

hello. in a recent attempt to close a huge medical cannabis dispensary, the tax man came to collect more than a couple million dollars from back taxes. when said shop does revenue of 12 million dollars in one year, the tax burden appears huge, yet reasonable for doing business. the company not budgeting for these taxes, has left the business in precarious standing. is a bail out from donations in order to save this business, or is it better to fail them for mismanagement, and take the bad publicity?

rollzone Reviewed by rollzone on 10-05-2011. the tax man hello. in a recent attempt to close a huge medical cannabis dispensary, the tax man came to collect more than a couple million dollars from back taxes. when said shop does revenue of 12 million dollars in one year, the tax burden appears huge, yet reasonable for doing business. the company not budgeting for these taxes, has left the business in precarious standing. is a bail out from donations in order to save this business, or is it better to fail them for mismanagement, and take the bad Rating: 5

[Bill C]

I say to let them fail and send the owner to court [jail] for tax evasion. If he wasn't prepared for taxes, then he certainly doesn't have a business plan worthy of surviving. Does he even have a lawyer and an accountant? Enough people are upset as it is with dispensaries opening up that we shouldn't be fueling that fire with things like cheating on taxes, especially when many states are legalizing MMJ in order to increase tax revenues. We need to show legitimacy in business, and severely penalize those who do not comply. I feel it would be good publicity to show we take such matters as a tax cheat seriously.

Also, if I'm not mistaken, donations to pay back taxes are considered income and thus, are taxable themselves.

[DenverRelief]

Harborside Health Center Cannabis Club HHC | Medical Marijuana Dispensaries In Oakland & San Jose

which you speak of is likely the largest dispensary in the world, and contributed over 1 million dollars in tax revenue to the city of San Francisco.

The tax burden that you speak of is due to a portion of the IRS tax code that says businesses that deal in controlled substances aren't allowed to deduct normal business expenses.

The result is that Harborside has been told that they can't deduct rent, wages, bills, and the many many other costs of doing business from what they declare as taxable profit.

This cripples any business' ability to function financially. It wasn't a matter of poor planning to pay the tax burden. The US Government pulled the rug out from beneath them.

Luckily Colorado Representative Polis with others has introduced legislation that would amend the tax code to allow for medical marijuana centers (what we call them in Colorado).

Toking And Taxes Don't Mix, Says IRS - Forbes

It's an attempt to undermine medical marijuana at the Federal level with underhanded leverage.

[MEDEDCANNABIS]

Harborside Health Center Cannabis Club HHC | Medical Marijuana Dispensaries In Oakland & San Jose

which you speak of is likely the largest dispensary in the world, and contributed over 1 million dollars in tax revenue to the city of San Francisco.

The tax burden that you speak of is due to a portion of the IRS tax code that says businesses that deal in controlled substances aren't allowed to deduct normal business expenses.

The result is that Harborside has been told that they can't deduct rent, wages, bills, and the many many other costs of doing business from what they declare as taxable profit.

This cripples any business' ability to function financially. It wasn't a matter of poor planning to pay the tax burden. The US Government pulled the rug out from beneath them.

Luckily Colorado Representative Polis with others has introduced legislation that would amend the tax code to allow for medical marijuana centers (what we call them in Colorado).

Toking And Taxes Don't Mix, Says IRS - Forbes

It's an attempt to undermine medical marijuana at the Federal level with underhanded leverage.

so basically you cant deduct normal deductions and they didnt know that as they were operating under normal business actions. of course an attempt at undermining mj biz thats what they do, gov is less compliant and have forgotten their place. honestly, i feel like robin hood sometimes:thumbsup:

[boaz]

if the coops truly are "not for profit" then they shouldn't have to pay any income tax at all. :twocents: maybe they should consider some sort of cashless bartering system or their own canna-dollars currency or something that leaves the the bank cartels out of it. just an idea. good luck.

[MEDEDCANNABIS]

I say to let them fail and send the owner to court [jail] for tax evasion. If he wasn't prepared for taxes, then he certainly doesn't have a business plan worthy of surviving. Does he even have a lawyer and an accountant? Enough people are upset as it is with dispensaries opening up that we shouldn't be fueling that fire with things like cheating on taxes, especially when many states are legalizing MMJ in order to increase tax revenues. We need to show legitimacy in business, and severely penalize those who do not comply. I feel it would be good publicity to show we take such matters as a tax cheat seriously.

Also, if I'm not mistaken, donations to pay back taxes are considered income and thus, are taxable themselves.

yes donations are taxable. forgiven debt is taxable. a free meal from the place you work at is taxable. yet taxation is illegal in this country...imagine that. getting pulled over by a cop for no obvious reason, also illegal. thats just what we know about i wonder what other illegal activities our gov does that we suspect or otherwise dont know about. just because you pay the man for protection doesnt mean your in good with them. screw gov, those traitors arent worth the infectious dribble from my dick(thanks to my wife):wtf:

[painretreat]

Should be interesting to find the final body count! THWC in Riverside, CA pays legit tax and has not been bothered by the Tax Collector. Just the D.A. in Riverside! I somehow doubt, they will hold a legit business, paying taxes more responsible than another. We will see if the 'tax collector' really wants to put a major tax source out of business! pr