Prime IRS Official Says Marijuana Banking Reform Would Assist Feds ‘Get Paid’ –
“IRS’s Cassidy Collins talked in regards to the ‘particular sort of assortment problem’ that the company faces in terms of working with hashish companies whereas the product stays federally unlawful.”
Why that is essential: This text highlights how the flexibility of the IRS to gather taxes from hashish companies is hampered as a result of the product stays outlawed beneath federal legislation. With out getting too far within the weeds, it explains whereas IRS would favor marijuana companies to pay taxes electronically, the business is essentially cash-based. Monetary establishments concern operating afoul of the federal guidelines governing banking of growers and sellers of hashish. Attempting to facilitate tax funds, the Service has inspired the enterprise homeowners to go to IRS help facilities outfitted to just accept money funds in extra of $50,000. It has additionally had IRS officers accompany hashish companies to their banks within the hope of acquiring cashier’s checks for fee of taxes. Till laws permits banks and credit score unions to cope with the business, the IRS’s hope of simple tax assortment could also be only a pipe dream.
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