Cannabis CPA by State
21 cannabis-specialized CPAs and accounting firms serving operators across 39 US states. IRC Section 280E tax planning, COGS allocation under IRC Section 471, METRC reconciliation, monthly bookkeeping, and IRS audit defense. Pick your state below.
Why cannabis businesses need a specialist CPA
IRC Section 280E prohibits cannabis businesses from deducting ordinary operating expenses federally. The only legitimate way to reduce cannabis federal tax liability is by properly allocating direct and indirect production costs to inventory (COGS) under IRC Section 471. This allocation is technical, audit-exposed, and unique to cannabis operators. A non-specialist CPA handling a cannabis return typically either understates COGS (overpaying tax) or overstates it (creating audit risk). State-level rules add another layer: 12 states have decoupled from 280E, creating legitimate state-level tax savings that a non-specialist CPA may miss.