Getting started

State-legal cannabis does not protect non-citizens under federal immigration law. Owning, investing in, or working for a dispensary can create serious immigration risk.

An executive order does not immediately reschedule marijuana or end 280E. This page explains the federal rulemaking process required to move marijuana from Schedule I to Schedule III, when tax treatment would actually change, and what rescheduling would and would not mean for New York adult use dispensaries.

During an audit, the IRS can request bank statements directly from a cannabis business or its bank under federal authority. This page explains how the IRS compares deposits to reported revenue, reviews cash versus electronic sales, analyzes transfers between accounts, and treats unexplained deposits as income unless documented otherwise.

An IRS audit of a cannabis business typically begins with written notice and document requests, followed by bank deposit reconciliation and detailed 280E review. This page outlines the audit steps, what records are examined, how taxable income is recalculated, and the possible outcomes including additional tax, penalties, or no change.