Accounting, Auditing and Tax Considerations for the Cannabis Industry Virtual Seminar

The start date for this course has passed. Registration is no longer available.

This course is 4.00 credits
Field of Study
Course Level
Kaplan CPA Education

Registration Fees

MSCPA Member
AICPA Member
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Friday, Sep 18, 2020
8:45am – 12:15pm

Due to the ongoing COVID-19 (coronavirus) pandemic, the MSCPA has made the difficult decision to make our scheduled live seminars in 2020 virtual-only events. The topics, dates, times and CPE credits will remain the same, and you will learn from the same top-level speakers that you expected to see at our live programs.

States have been passing legislation that legalizes cannabis for medicinal and recreational use, and the producers and retailers in this industry have been growing. Accounting  and financial professionals are now tasked with navigating the often contrary state and federal laws. With cannabis being classified as a Schedule 1 controlled substance under the Federal Controlled Substances Act of 1970 and subject to federal prosecution, can CPAs offer services to clients that operate in this industry? If the CPA does offer services, what are the major tax issues (federal and state) that impact this industry? This course will answer these questions as well as provide the guidance that accounting professionals need to know to offer services in the cannabis industry.

Designed For

Any accounting or financial professional that works directly or indirectly in the cannabis industry or is interested in learning more about how this recent state legislation is impacting the accounting profession.

Course Objectives

Participants will be able to: 

 Understand the risks of taking on a client in the cannabis industry
 Recognize state reporting rules
 Recognize federal reporting rules
 Differentiate between the federal and state filing requirements
 Understand IRC Section 280E and what deductions are and not allowed to a cannabis business
 Apply various state sales and excise taxes that apply to the sale of cannabis
 Recognize why banks wont allow cannabis based businesses to open a bank account
 Understand the treatment of revenue and inventory
 Understand audit considerations
 Understand sustainability reporting issues

Major Subjects

• Types of cannabis related businesses
• Risk considerations for services offered in the cannabis industry
• Recognizing what costs are and not considered cost of sales under IRC Section 280E
• Recognize if the entity conducts a business separate from the cannabis sales that may allow some deductions aside from cost of sales
• State and federal tax differences
• Cash based business audit considerations
• Financial reporting considerations


Basic auditing, accounting, and tax experience

The start date for this course has passed. Registration is no longer available.