{"id":53754,"date":"2018-01-26t05:00:10","date_gmt":"2018-01-26t10:00:10","guid":{"rendered":"https:\/\/48e130086c.nxcli.net\/?p=53754"},"modified":"2018-02-01t14:05:18","modified_gmt":"2018-02-01t19:05:18","slug":"cpa-john-dillinger-californias-prop-64","status":"publish","type":"post","link":"\/\/www.g005e.com\/2018\/01\/26\/cpa-john-dillinger-californias-prop-64\/","title":{"rendered":"cpa john dillinger on california\u2019s prop 64"},"content":{"rendered":"
\"portrait<\/a>
dillinger<\/figcaption><\/figure>\n

he’s been aiming for this day since 1980.
\n<\/strong><\/p>\n

by liz gold
\ncannabizcpa.pro<\/a>
\n<\/em><\/p>\n

as recreational cannabis becomes legal in california this month, the cannabis community is getting prepared for what\u2019s to come.<\/p>\n

more on cannabiz:<\/b> cpa simone cimiluca-radzins launches ‘linkedin of cannabis’<\/a> | survey: n.j. cpas support recreational cannabis<\/a> | cpa kim walker: \u2018we can\u2019t be afraid of diving into marijuana\u2019<\/a> | a cpa\u2019s unexpected journey into the cannabis industry<\/a>
\n\"goprocpa.com\"exclusively for pro members. <\/span><\/strong>log in here<\/a> or 2022世界杯足球排名 today<\/a>.<\/span><\/p><\/blockquote>\n

john dillinger, cpa, cgma, pfs, is a former irs agent in oakland who, after leaving the irs to manage\u00a0at a local cpa firm in 2007, found himself working with clients in the medical marijuana industry. fast forward to today and dillinger has struck out on his own with two offices in burlingame and palm springs and is ready to help cannabusinesses launch and stay competitive in the booming market.
\n
\nin the following interview, dillinger talks about what will change in california this month, what keeps him interested in the cannabis industry and how he\u2019s preparing for the green rush.<\/p>\n

prior to becoming a cpa, you helped reefer raiders collect signatures for california marijuana initiate 1980 (cmi80) and was sergeant of arms for orange county norml. how is getting back into the cannabis space coming full circle for you?\u00a0<\/strong><\/p>\n

thirty-seven years ago, many\u00a0californians believed that cannabis should be legal.\u00a0i agreed and helped get signatures.\u00a0 many signatures were obtained from people standing in line to see “the empire strikes back\u201d\u00a0now here we are with the release of \u201cthe last jedi” and legal cannabis. instead of getting signatures,\u00a0i’m helping newly legal\u00a0businesses\u00a0with the complex\u00a0regulatory requirements of state legal cannabis.\u00a0plus, i’m helping friends who require cannabis for medical purposes continue receiving their medicine.<\/p>\n

following the passing of the <\/strong>adult use of marijuana act<\/strong>\u00a0(prop. 64), cannabis became legal as of jan. 1. what does the law allow?<\/strong><\/p>\n

before jan. 1 of this year, the state law allowed an individual to grow up to six plants indoors.\u00a0local authorities could place additional restrictions. an individual could also possess up to one ounce.\u00a0public consumption was not permitted.<\/p>\n

now as of\u00a0january 1, things changed. state law must be\u00a0coordinated\u00a0with local law. some local laws will only permit the additional activities of\u00a0commercial\u00a0growing, manufacturing,\u00a0medical dispensaries, adult use retail, etc.<\/p>\n

for example,\u00a0palm springs will allow “cannabis lounges” where cannabis is\u00a0consumed similar to a bar. palm springs city council had quite the debate over the “takeout” of cannabis. they decided on a “doggie bag” rule so as not to induce overconsumption.\u00a0they compared it to walking out of a bar with an open can of beer and recorking a bottle of fine\u00a0wine\u00a0from a restaurant and\u00a0putting it in the trunk of your car. as this is a new industry, expect laws to change constantly.<\/p>\n

note nobody under 21 can purchase adult-use cannabis. however, those 18 or older can purchase from a medical dispensary with a valid doctor’s prescription.<\/p>\n

what were your biggest takeaways as a cpa working in a firm with a medical marijuana niche? what is interesting to you about the industry?<\/strong><\/p>\n

the unfairness of irs code 280e, which does not allow the deduction of any expenses related to the sale of a schedule i drug. medical cannabis is considered a schedule i drug by the dea. court cases and tax law allow for tax planning that can increase deductible expenses. without planning, cannabis businesses could pay 70 percent income taxes on their net income. recent tax reform can help reduce federal income taxes for a cannabusiness.<\/p>\n

prior to\u00a0jan. 1, legal cannabis could only be sold if it was medical cannabis in california. any company selling medical cannabis was required to be a not-for-profit. now, the not-for-profit classification is no longer required.\u00a0therefore, those who take the risk of pioneering in the industry are permitted to be rewarded financially.<\/p>\n

what i find the most interesting is that it is a new industry.\u00a0this allows for accounting and legal interpretation because there are few court cases and regulations that provide guidance. this allows me to use my master\u2019s in taxation, big four accounting\u00a0and irs\u00a0auditor\u00a0tax experience to help clients stay within the unfair\u00a0tax law and minimize the financial damage.<\/p>\n

what do those interested in starting a cannabis business in california need to know? what are some things they should be thinking about?<\/strong><\/p>\n

first, the federal government considers state legal cannabis to be a class i drug\u00a0and that the business is the same as “drug trafficking” under u.s. law.<\/p>\n

don’t even think about doing this unless you plan on helping many clients in the industry. the laws are vague, complex and ever-changing. there are other complexities such as being a mostly cash business and the lack of banking services. you must have time to focus on the complex laws and regulations, while staying up to date with the changes.<\/p>\n

what preparation have you done to get yourself ready for cannabis clients? what sort of resources have been helpful to you?<\/strong><\/p>\n

reading the california\u00a0bureau of cannabis control regulations and comparing them to local ordinances as soon as they are released. staying abreast of irs 280e court case and legal interpretations, as well as speaking at city council meetings, talking to news\u00a0reporters and industry\u00a0business owners.<\/p>\n","protected":false},"excerpt":{"rendered":"

he’s been aiming for this day since 1980.<\/strong>
\nby liz gold<\/em><\/p>\n","protected":false},"author":2463,"featured_media":53779,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_relevanssi_hide_post":"","_relevanssi_hide_content":"","_relevanssi_pin_for_all":"","_relevanssi_pin_keywords":"","_relevanssi_unpin_keywords":"","_relevanssi_related_keywords":"","_relevanssi_related_include_ids":"","_relevanssi_related_exclude_ids":"","_relevanssi_related_no_append":"","_relevanssi_related_not_related":"","_relevanssi_related_posts":"","_relevanssi_noindex_reason":"","footnotes":""},"categories":[2759,1363,3120],"tags":[],"class_list":["post-53754","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cannabis","category-featured","category-pro-member-exclusive"],"acf":[],"yoast_head":"\ncpa john dillinger on california\u2019s prop 64 - 卡塔尔世界杯常规比赛时间<\/title>\n<meta name=\"description\" content=\"actionable intelligence for tax, accounting, and financial professionals\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"\/\/www.g005e.com\/2018\/01\/26\/cpa-john-dillinger-californias-prop-64\/\" \/>\n<meta property=\"og:locale\" content=\"en_us\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"cpa john dillinger on california\u2019s prop 64 - 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