Oakland pot dispensary gets $2.5 million IRS bill

[alp227]

Source: San Francisco Chronicle

(10-04) 18:12 PDT Oakland -- A leading Oakland marijuana dispensary was hit with a $2.5 million tax bill this week which may force its closure, dispensary staff said Tuesday.

Harborside Health Center owes the Internal Revenue Service back-taxes for 2007 and 2008, based on a federal law prohibiting marijuana dispensaries - unlike other businesses - from deducting payroll, insurance, rent, workers' compensation and other operating costs from its revenues.

"We think this assessment is unfair and inaccurate. We have no choice but to fight this," said Harborside executive director Steve DeAngelo. "I'm profoundly concerned on behalf of our patients."

IRS spokesman Jesse Weller had no comment on the case.

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2011/10/04/BAC51LDGO6.DTL

[midnight]

1. What if they structured their business like G.E does?

[Demeter]

2. Free Pot to All Congress

in lieu of cash payments...

[bluedigger]

3. Their lobbyists suck. n/t

[defendandprotect]

4. What BS by government -- !! Other methods of attack perhaps got a bit too much attention?

[RainDog]

5. k&r n/t

[XemaSab]

6. Rape indigenous people, gouge the working man, and pollute the whole planet?

Pay no taxes.

Sell weed to cancer patients?

Pay through the nose.

This is everything that is fucked up about our society.

[Dragonbreathp9d]

7. Whether or not they should actually owe that amount

This is actually a huge point fir legalization. Look at all the revenue we could generate!