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280e new


Cost Free
Presentation Length 1.0 hour

Recorded DateMay 1, 2015
CPE:Not available
(archived webinars do not offer CPE credits)
Subject AreaAccounting & Auditing
Course LevelBasic
Course Description

With the number of states that have recently approved initiatives for legalized recreational use of marijuana, and the laws passed in other states permitting the medical/medicinal use of marijuana, producers and retailers of marijuana are quickly growing. Accounting professionals and CPAs serving marijuana businesses are tasked with navigating the often ambiguous and sometimes contrarian state and federal legal information that affect this, albeit growing, niche.

Specific new rule changes to IRC 280E have corporate distributors of cannabis (legal and medicinal) and their accountants concerned. Navigating 280E could prove cumbersome as court cases and IRS memos create varying interpretations of the code. This webinar will address the main issues CPAs and accountants need to consider under 280E.

Learning Objectives

  • Determine what's deductible under IRC 280E

  • Defining COGS specifically for state-legal dispensaries

  • Identify what's not deductible under IRC 280E

  • Understand how producers are treated differently than retailers under 280E

  • Point to relevant tax court cases that affect IRC 280E interpretations

  • Understand appropriate costing methods for maximizing COGS

Not logged

A graduate from the University of California Santa Cruz with dual degrees in Business and Psychology. Upon graduation, Mario accepted a full-time position with PricewaterhouseCoopers, LLP an international accounting Firm. While employed at PwC, Mario led audit engagements for large publicly traded corporations and private companies in the consumer products/retail, manufacturing and financial service industries. The key take-a-ways from Mario’s public accounting experience include technical accounting experience include technical accounting research, internal control development and financial reporting. Mario obtained his CPA certification in 2007 before transitioning to an internal audit role with Sharp Healthcare, the largest nonprofit health care organization in Southern California. After a year of experience with Sharp, Mario couldn’t resist the entrepreneurial temptation of branching out on his own. In 2010, Mario became a sole practitioner and began serving small start-up businesses in San Diego performing accounting, consulting and tax engagements. Currently, Mario services individual and business clients in a range of industries from Southern California to the Pacific Northwest. Specialized skills include bankruptcy reporting, litigation support, business formations, compliance services, tax preparation and IRS audit defense. Career highlights include expert witness testimony in a medical marijuana defense case (People v. Jovan Jackson (2013)) and being the Court appointed CPA for the first medical marijuana business to file Bankruptcy in federal court. Mario’s professional experience is representative of his entrepreneurial character; one who is not afraid to deviate from the stereotypical norms. Mario co-founded New Era CPAs LLP in 2013 and continues to serve entrepreneurial businesses and niche markets.

About Our Presenter

New Era was founded by entrepreneurs for entrepreneurs. Our experience allows us to serve clients in all stages at a high level through the application of corporate disciplines and high standards of excellence. Our unique background and experience sets us apart. We not only have the firsthand experience of taking an idea and turning into a successful business. But we also have years of experience working at large corporations and also working with them while at national firms. This unique combination of experience allows us to provide advice and input that you would not receive from a traditional one-dimensional tax firm or accountant. Our team can lend valuable industry expertise to help save you time and money while also developing a successful business. Our thinking is as well driven on the concepts of innovation and evolution as we seek to redefine the CPA – Client relationship in the New Era. Entrepreneurialism is thriving and we provide cutting edge solutions and tools allowing clients to navigate as efficiently as possible through the uncertainty and perceived barriers to operating a successful business. Our approach to client service is uniquely tailored to maximize our ability to serve you and your business.