Jump to content

Keep It On The Books, Mmj Friendly Accountant


MiMedicalMJ
 Share

Recommended Posts

One thing I think some people are not on top of is keeping proper accounting for tax time.

Even if you do not make a profit you still need to keep proper records, have someone who knows

how to take advantage of all deductions possible etc etc.

 

I fear many people are going to neglect taxes and that is going to be how they get caught up by accident

and we all know dealing with the IRS or even Michigan Dept. of Treasury for tax issues once they contact you

is a SERIOUS HEADACHE!!!

 

Anyway point of my ramble....

I have met a really nice accountant who understands our situation, accepts and understands this is a real industry

and people benefit from the new law in many ways (either financial or health wise)

 

If anyone is looking for an accountant to help you set up a proper corporation (every attorney I have spoken to says

to set up a LLC to protect your personal liability), help you learn how to keep your books in order (its a pain if you are

new to handling books till you know what you are doing) and help you when tax time comes along let me know.

 

He charges a consultation fee to meet but I know he deducts at least a portion of that from future billing if you use

his service and if not it is your basic consultation fee.

 

He is in the Oakland County area, if anyone feels they need to get together with an accountant and use their services let

me know and I will help you get in contact with him.

Link to comment
Share on other sites

  • 1 month later...
  • 2 months later...

One thing I think some people are not on top of is keeping proper accounting for tax time.

Even if you do not make a profit you still need to keep proper records, have someone who knows

how to take advantage of all deductions possible etc etc.

 

I fear many people are going to neglect taxes and that is going to be how they get caught up by accident

and we all know dealing with the IRS or even Michigan Dept. of Treasury for tax issues once they contact you

is a SERIOUS HEADACHE!!!

 

Anyway point of my ramble....

I have met a really nice accountant who understands our situation, accepts and understands this is a real industry

and people benefit from the new law in many ways (either financial or health wise)

 

If anyone is looking for an accountant to help you set up a proper corporation (every attorney I have spoken to says

to set up a LLC to protect your personal liability), help you learn how to keep your books in order (its a pain if you are

new to handling books till you know what you are doing) and help you when tax time comes along let me know.

 

He charges a consultation fee to meet but I know he deducts at least a portion of that from future billing if you use

his service and if not it is your basic consultation fee.

 

He is in the Oakland County area, if anyone feels they need to get together with an accountant and use their services let

me know and I will help you get in contact with him.

 

 

If you could, please forward me the information.

 

Thanks,

 

Jessie

Link to comment
Share on other sites

  • 1 month later...

I would highly recommend against any of this activity. I don't know what kind of "accountant" is telling you this but I wouldn't follow any of this advise.

 

MMJ is illegal on a Federal level and you are suggesting alerting the Federal authorities to your activity. This doesn't make sense. In fact, an accountant can not even knowingly help you with this so - WTF????

 

 

As far as opening an LLC; again it is illegal of the Federal level so the term "money laundering" comes to mind.

 

Also, it seems that you are not supposed to make a profit so you would probably be cooking the books in order to reflect this. That is tax evasion with you dropping the dime on your self when you file.

 

The smart thing to do is not try to make a living off of the MMMA. Don't keep track of your finances because those records can and will be used against you. And you are planning on producing receipts for all of your transactions - wow. Just keep your hobby a hobby. Figure out how much you spend on everything, depreciate your equipment X per year and decide how much you need to charge to break even. No income, no need to file.

Link to comment
Share on other sites

Well of course you are not going to put Marijuana Caregiver as an occupational title when filing taxes. Unfortunately the IRS's position is on a federal level like Cheliose said. But that could be a double edged sword if you don't have some type of record in my opinion. It depends how you view it. Some people believe that you don't need to make any type of service revenue in providing a service. I think there is a fine line between making a "comfortable" living from being a caregiver and merely being compensated for a time consuming service.

Link to comment
Share on other sites

  • 6 months later...

As the state law puts it, you are not selling or trafficking illegal drugs, you are providing a service. So it is not illegal in the eyes of the feds if you take that approach. This is considered the same type of service as unregistered nurse services.

 

Also, nothing says that there can be no profit. It says directly in the law that caregivers may receive compensation for their services. It does not say that compensation has to match exactly what it cost them. Please, if I am wrong, tell me where in the law it says that there can be no profit? I have read it over and over and I have not once read that there can be no profit, so please point me to the section that states this and I will re-read it.

 

Time and expenses are compensatable items, and caregivers can charge anything they want for time within reason. The time part of it is considered income, and should have income tax paid on it legally. So, All CGs should be declaring income on it in state and federal as other labor.

 

No cooking the books, you take everything received, subtract everything purchased including utilities, subtract that out, and anything left over is considered income for a service. As far as the LLC, it is the same as a lawn mowing service.

Link to comment
Share on other sites

  • 1 month later...
  • 2 weeks later...
  • 5 years later...

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
 Share



×
×
  • Create New...