{"id":66622,"date":"2019-10-04t12:00:12","date_gmt":"2019-10-04t16:00:12","guid":{"rendered":"https:\/\/48e130086c.nxcli.net\/?p=66622"},"modified":"2019-10-10t10:37:39","modified_gmt":"2019-10-10t14:37:39","slug":"cpa-brannen-prepared-for-when-maine-goes-recreational","status":"publish","type":"post","link":"\/\/www.g005e.com\/2019\/10\/04\/cpa-brannen-prepared-for-when-maine-goes-recreational\/","title":{"rendered":"cannabis cpa readies for when maine ‘goes recreational’"},"content":{"rendered":"
\"portrait<\/a>
brannen<\/figcaption><\/figure>\n

karla brannen spends a lot of time explaining \u00a7280e to cannabis clients.<\/strong><\/p>\n

by 卡塔尔世界杯常规比赛时间 research
\ncannabizcpa.pro<\/a><\/em><\/p>\n

maine, a.k.a. vacationland, is gearing up to \u201cgo recreational,\u201d and cpa karla j. brannen, senior tax manager at albin, randall & bennet cpas, is on the crest of the cannabis wave.<\/p>\n

more at cannabizcpa.pro<\/a>:<\/b> new to cannabis? maybe a joint venture is the answer<\/a> | zach gordon cpa: \u201cthe level of guidance out there is just nonexistent.\u201d<\/a> | why jax wheatley shifted from lbgtq to cannabis clients<\/a> | ron seigneur blazes new trails in cannabis<\/a> |\u00a0 more
\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

nobody knows quite yet when the pine tree state will allow the sale of recreational marijuana. in 2016, the people of maine approved a referendum to legalize the sale of recreational marijuana. the governor signed the recreational marijuana rules on june 20, 2019. on september 19, 2019, ld719, an act to amend the adult use marijuana law, went into effect. final adoption of these rules will happen within the next 60 days.<\/p>\n

cannabis products have been legal in maine for medicinal purposes for years. licensed medical cardholders are allowed to purchase cannabis through a registered dispensary or through certified caregivers. almost four years ago \u2013 even before the referendum \u2013 brannen predicted a need for better accountancy in an industry that comes with its own set of complications.<\/p>\n

\u201ci saw an emerging market,\u201d brannen says, \u201cand, with that, an emerging need for accounting clarity for the businesses in this market. with the uncertainties in regulation ahead, businesses need a solid understanding of tax regulations, sales tax requirements and compliance. i encourage my cannabis clients to understand maine law and how they are supposed to be operating. as these businesses expand and develop their operations, it\u2019s important for them to have local consultants working alongside them, making sure they are remaining in compliance with maine law.\u201d<\/p>\n

brannen, who also serves as the state cpa society’s liaison to the aicpa, says she \u201cjumped right into the industry,\u201d but by \u201cjump\u201d she means first attending seminars, webinars, and conferences, studying court cases, networking with lawyers, studying state and federal laws, and conferring with other cpas who had gotten their feet wet in the waters of an activity that was and still is considered a federal crime.<\/p>\n

\u201cthere have been several court cases involving the irs and cannabis businesses,\u201d she said, \u201cso, i follow them closely to ensure i am properly advocating for, educating and serving my clients.\u201d<\/p>\n

a lot to learn<\/strong><\/p>\n

having educated herself, brannen\u2019s next (and still ongoing) challenge has been to educate clients. some are dedicated aficionados of america\u2019s most misunderstood medication. others were experienced business people who saw an opportunity. all of them want to know how to fulfill all legal tax and accounting requirements.<\/p>\n

and all of them have had a lot to learn. as in other states, accounting for the cannabis business is special. the product is a dea schedule 1 narcotic, lumped in with heroin, lsd and crack. only the direct cost of goods sold is deductible. incompetent or uninformed tax accounting can lead to serious problems with the internal revenue service and, ultimately, the inviability of a business.<\/p>\n

\u201cmany cannabis businesses have become my clients over the last three years. they are often seeking help filing back taxes, they want to learn and understand what needs to be done where they may not have understood before, and the desire to operate in compliance with the law,\u201d brannen said. \u201cin some cases, their long-term goal has been to make the transition from medical to recreational.\u201d<\/p>\n

whether her clients have business backgrounds or not, brannen has to spend a good amount of time explaining the rules and nuances of irc \u00a7280e, the section of the irs code that limits deductions for felonious activities to cost of goods sold. (as far as the feds are concerned, brannen\u2019s cannabis clients are, technically, drug traffickers.) because taxable income is higher than for any non-marijuana business, \u00a7280e can heavily impact the pricing needed to ensure profits.<\/p>\n

brannen advises anyone getting into this industry to check with their liability insurance carrier.<\/p>\n

maine plans to impose a special 10 percent sales tax on recreational pot, plus<\/p>\n