Insights
Analysis and commentary on cannabis taxation, 280E strategy, psychedelic regulation, and emerging market policy.
The Peptide Operator's Tax Guide: What 280E, IRC 162, and IRC 199A Actually Say
Peptides are not Schedule I or II, so 280E does not apply. Here is the working tax framework we use for peptide operators - full IRC 162 deductibility, IRC 199A QBI eligibility, IRC 471 inventory accounting, and the entity structure decision tree from research-use-only retailers to 503B outsourcing facilities.
Read articleDoes 280E Apply to a GLP-1 Compounding Pharmacy? A Statutory Read
Some advisors have asked whether DEA culture in adjacent pharmacy operations creates 280E exposure for a GLP-1 compounding pharmacy. It does not. Semaglutide and tirzepatide are not scheduled. The real risks live in the FDA shortage rules, the 503A vs 503B distinction, and entity structure choices.
Read articleHow to Structure a Peptide Clinic: Entity, CPOM, and the S-Corp Election
A peptide clinic is a medical practice. That single sentence drives every structural decision. CPOM state or non-CPOM state, PC/PLLC plus MSO or single LLC, S-corp election timing, and reasonable compensation discipline - in the order they matter.
Read articleAnti-Aging Peptide Retailers: Sales Tax Nexus, Entity Structure, and the Research-Use-Only Question
Online peptide retailers sit in a regulatory gray zone but a tax-clear one. The research-use-only disclaimer does not change federal income tax treatment. It does change every operator's exposure to state sales tax nexus after Wayfair and to payment processor risk.
Read articleTestosterone, Anabolic Steroids, and 280E: The Schedule III Tax Answer
Testosterone and anabolic steroids are controlled substances - but they sit on Schedule III, and 280E reaches only Schedules I and II. Here is the tax framework for TRT and hormone clinics: full deductibility, the SSTB wrinkle in 199A, CPOM structuring, and the DEA compliance layer that actually deserves your attention.
Read articleThe Kratom Retailer's Tax Guide: 280E, the State Patchwork, and the 7-OH Question
Kratom is not a federally scheduled substance - the DEA tried in 2016 and withdrew. So 280E does not apply, and a kratom retailer is entitled to full ordinary deductions. But the map under a kratom business moves constantly: state bans, Kratom Consumer Protection Acts, FDA pressure on 7-hydroxymitragynine products, and processor friction. Here is how we structure and defend the position.
Read articleWhy Grey-Market Businesses Need Different Tax Planning
Grey-market businesses often rely on narrow or unsettled legal positions. That changes how to think about entity choice, and why C corporation treatment is often the better starting point.
Read articleRescheduling, 280E, and the Fight for Retrospective Relief
The AG's final order encourages the Treasury to consider retrospective 280E relief. Here is what that means for amended returns, statutes of limitation, and reasonable basis positions.
Read articlePrioritizing Tax Payments When Cash Is Tight
When funds are limited, knowing which taxes to pay first - income, excise, sales, payroll - protects you from penalties, interest, and personal liability.
Read articleThe Single Convention Angle to A New Choke Point
FDA-approved and state-licensed medical marijuana moves to Schedule III effective April 22, 2026. But the order builds a federal choke point, not a clean exit from 280E.
Read articleA Closer Look at IRC 280E (And Where We Stand)
A taxpayer is entitled to challenge the IRS's interpretation of the law, including positions related to IRC Section 280E.
Read articleThe Dormant Commerce Clause and the Future of Cannabis Markets
The Second Circuit's ruling in Variscite v. New York has major implications for interstate commerce in state cannabis markets.
Read articleMichigan's 24% Wholesale Cannabis Tax Will Force Consolidation
The proposed wholesale excise tax may raise $420M for infrastructure but could drive consolidation, disadvantaging smaller operators.
Read articleDEA Forwards Psilocybin Rescheduling Petition to the HHS: What This Means for the Industry
The DEA's forwarding of a psilocybin rescheduling petition to HHS could reshape industry regulations and tax implications.
Read articleCan Magic Mushroom Companies Successfully Challenge 280E?
Legal and policy analysis of Section 280E's impact on cannabis and psilocybin industries.
Read articleChallenging 280E: Why 'Within the Meaning' Matters
The critical phrase 'within the meaning of' in Section 280E creates significant interpretive space for cannabis businesses.
Read articleChallenging 280E: HHS's Authority and the Collapse of Drug Scheduling Powers
A Yale Law Journal Forum article provides legal grounds to challenge 280E based on HHS's binding scheduling authority.
Read articleThe Fight Over Cannabis Rescheduling: Progress, Setbacks, and the Battle Ahead
The DEA's five-part test for determining accepted medical use is being replaced by a more flexible standard.
Read articleJustin to be Speaking at MJBizCon Dec 3-6
CEO Justin Botillier will present on the investment landscape in a post-280E environment at MJBizCon 2024.
Read articleMJBIZ Webinar: Challenging 280E
Session on deductions and amending tax returns amid recent federal policy shifts.
Read articleThe Unfair Burden of Measure 119
Oregon's Measure 119 would create unfair unionization requirements for cannabis businesses while exempting alcohol producers.
Read articlePsychedelics Best Business Practices
Join us for a panel on taxes, insurance, and legal issues specific to the psychedelic sector.
Read articleAdvocating for Flexibility: Oregon's Psilocybin Industry Must Adapt to Stay Ahead
The upcoming public comment period offers a critical opportunity to advocate for more flexible regulations that align with Colorado's model and maintain Oregon's advantage.
Read articleThe Future of Hemp in Oregon: A Call to Action with Courtney Moran
Justin Botillier sits down with Courtney Moran of Earth Law LLC to discuss the recent OLCC public hearing on which hemp products will be allowed in Oregon's cannabis marketplace.
Read articleThe Cannabis Journey Back to the Supreme Court: A Conversation with Katie Scates, CPA, JD
Justin Botillier and Katie Scates explore the latest developments in the cannabis industry, focusing on the recent appellate brief challenging federal prohibition.
Read articleNavigating Oregon's Cannabis Certificate of Compliance: Insights from Attorney Kevin Jacob
Kevin Jacoby of Jacoby Law shares valuable insights into Oregon's Certificate of Compliance requirements for cannabis retailers.
Read articleWhen Will Marijuana Be Rescheduled? ChatGPT's Prediction!
We leverage ChatGPT to explore the current rescheduling process, provide an estimated timeline, and predict when this monumental change might occur.
Read articleBad News: Major Setback for the Psychedelics Industry: FDA Denies MDMA Therapy
The FDA has denied Lykos Therapeutics' approval request for MDMA-assisted therapy for PTSD, casting a shadow on the field of psychedelic-assisted therapies.
Read articleThe Future of the Ordinary Business Deduction for Cannabis Businesses
How 280E has damaged the cannabis business and the arguments that companies possess constitutional rights to recover lost deductions.
Read articleA Case of Strategic Silence: IRS Guidance on Section 471(C) & Section 280E
The IRS memorandum explicitly avoids addressing the application of Section 471(c) in mitigating the impact of Section 280E - and that silence speaks volumes.
Read articlePsycon Las Vegas: Navigating Tax Challenges in the Psychedelic Industry
At the recent PsyCon Convention in Las Vegas, Justin Botillier presented on taxation challenges within the cannabis and psychedelics industries.
Read articleIs the DEA's Response to Rescheduling Cannabis Overly Hyped? Calyx Responds
The DEA's consideration of rescheduling marijuana marks a significant shift in U.S. drug policy - but the timeline is slower than you think.
Read articleCalifornia's Pioneering Legislation for Psychedelic Therapy
California's passage of Senate Bill 1012 marks a significant development in the use of psychedelics for therapeutic purposes.
Read articleInsights on Amending Returns & Navigating Legal Changes
Justin Botillier and Jamie Jorgenstone delve into the complexities of amending tax returns in the cannabis industry.
Read articleSouthern Oregon Family Farms Co-Op
Justin Botillier discusses his involvement with Southern Oregon Family Farms and perspectives on the cannabis sector in southern Oregon.
Read articleInterviewing Britt Rollins, CEO of the National Psychedelics Association
An in-depth look at the National Psychedelics Association and its efforts to support the evolving needs of the psychedelics industry.
Read articleNavigating the Complexities of 280E, 471(C), CHAMP, & Strategies for Psilocybin Service Centers
Justin Botillier and Michael Brooks delve into the most pressing tax and business questions faced by psilocybin service centers today.
Read articleWhat Kind of Assets Can I Write Off?
A frequently asked question from clients: what can I buy to decrease my tax liability? Here is what qualifies and what does not.
Read articleHow Does Inventory Increase Net Income?
A client asked why increased inventory raised their net income. Here is how the inventory and net income connection works.
Read articleCould Rescheduling Cannabis Potentially Set Back Federal Legalization by Decades?
Should the industry prioritize full federal legalization rather than accepting rescheduling's limited gains? This represents a critical juncture.
Read articleThe Mindfulness Experience Podcast: IRS, 280E & Psychedelics
Justin Botillier joins The Mindfulness Experience Podcast to discuss navigating the financial implications of the 280E provision for the psilocybin industry.
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