Here Comes The IRS!

[MedicalMike]

Bottom Line - IRS ruling strikes fear in medical marijuana industry

MedicalMike Reviewed by MedicalMike on 10-06-2011. Here Comes The IRS! Bottom Line - IRS ruling strikes fear in medical marijuana industry Rating: 5

[DenverRelief]

Luckily Representative Polis has introduced some legislation to allow medical marijuana centers to deduct business expenses like any other legal business.

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

It's an underhanded attempt at leveraging the marijuana movement out of existence, but in the alternative senario no one would be paying any taxes on any revenue from marijuana being sold on the black-market.

This is a public policy decision and if the IRS code stands will be a major set back for any rational policy for making cannabis medically available in the US.

[MedicalMike]

I don't understand how the Federal Gov. can collect sales/income taxes on a business considered illegal. What do you think the chances are of the legislation introduced passing?

[copobo]

they collect income on income. many dealers have gone down for tax evasion. y'all better get pushing at the federal level or you'll be shut down

[Denvertoad]

I don't understand how the Federal Gov. can collect sales/income taxes on a business considered illegal.

Hmmm.... Same thing Al Capone said back in his day.



All money is considered taxable by the IRS, irregardless of source.


Off topic but WTF....

Watched all three nights of Ken Burns newest documentary "Prohibition". The parallels between liquor prohibition and marijuana prohibition were fascinating to compare. Both based on lies, hysteria, and political patronage. Anyone else watch the series and see the comparison?

[senorx12562]

Anyone even the slightest bit surprised by this ruling just hasn't been paying attention.

[MedicalMike]

DenverRelief had a great link in case you missed it.

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

Man is this getting interesting.

[DenverRelief]

I don't understand how the Federal Gov. can collect sales/income taxes on a business considered illegal. What do you think the chances are of the legislation introduced passing?

That's hard to say. I really don't have a sense for it. It being an election year turns everything on its head.

This blogger isn't too optimistic about it:

Several Drug Policy Bills On Capitol Hill This Year | THE Weed Blog

[killerweed420]

Watch a news feed this morning where the DOJ says they are going to actively shut down all dispensaries. Its time to start calling your governors and find out if any of them believe in the constitution and understand why the 10th Amendment was written. The govenors have the authority to put an end to the federal tyranny if they want. But they need to be pushed in that direction by us citizens.

[senorx12562]

Governors have absolutely no such authority under the current state of 10th Amendment case law. The 10th Amendment is pretty much a dead letter for the time being.