Ineligible For Covid Relief Funds Cannabis Companies Are In Trouble
Posted On April 28, 2020
- Ineligible For Covid Relief Funds Cannabis Companies Are In Trouble
- Most cannabis companies are considered small, with many being mom-and-pop shops.
- It also said indirect marijuana businesses ” which derive any of its gross revenue for the previous year from sales to Direct Marijuana Businesses” are ineligible, examples include testing services, sellers of lights and hydroponic equipment, businesses that sell smoking devices, and providers of services, such as law firms, accountants or policy consultants.
- In addition to federal taxes, these companies are subject to state and local taxes, like any other business.
- However, unlike other businesses, cannabis companies are not allowed to make business deductions, such as paper, computers, and attorneys.
Read full article: forbes.com