Internal Revenue Code section 280E has long prevented companies engaged in the legal (and illegal) cannabis business from deduction their ordinary and necessary business expenses. But as more and more states legalize the use and sale of cannabis and cannabis related products, whether for medicinal purposes, recreational purposes, or both, there is pressure on Congress, the Courts, and the Department of Justice to decrease enforcement of cannabis related laws.
The recent rescheduling of cannabis under the Controlled Substances Act from a Schedule I to a Schedule III drug not only underscores this pressure but, in conjunction with pending litigation, creates opportunities for planning, protective refund claims, and (potentially aggressive) amendment of tax returns. In this course, we will discuss the current landscape of the Federal taxation of cannabis, focusing on Section 280E, and how taxpayers and their advisors can prepare for what appears to be a more lenient and taxpayer-friendly environment in coming years.

Who should attend:
CPAs, EAs, tax professionals and anyone that deals with cannabis tax law
1 IRS CE hours
1 CPA CPE Credit
Prerequisites: None
Program Level: Basic
Advanced Preparation: None
Field of Study: Taxes
Location: Virtual
Delivery Method: Group Internet Based


Brian Bernhardt
Tax Attorney | Former IRS Office of Chief Counsel
Brian is a co-chair of Fox Rothschild’s Tax Controversy & Litigation practice group, a Chambers-ranked tax controversy attorney, and a member of the firm’s White-Collar Criminal Defense & Regulatory Compliance, Tax-Exempt Organizations, and Appellate practice groups. A former trial attorney with the Internal Revenue Service Office of Chief Counsel, Brian has represented clients on tax matters before the IRS, the Department of Justice Tax Division, the U.S. Tax Court, the U.S. Court of Federal Claims, and multiple U.S. District Courts. Brian has also represented clients on non-tax matters before the North Carolina Court of Appeals, the North Carolina Supreme Court, and the Fourth Circuit Court of Appeals.
Brian represents companies and individuals in audits, criminal investigations, appeals, collections, refund claims, and Tax Court and District Court litigation. He also has extensive experience in advising clients on issues regarding foreign bank account reporting (FBAR) obligations, Voluntary Disclosure Programs, conservation easements, penalty assessments, trust fund investigations, tax shelter investigations, and pandemic related audits, investigations, and fraud, including PPP Loans, EIDLs, and ERC claims. Brian is a contributor to the Fox Rothschild Tax Controversy & Financial Report blog, and also serves in the role of outside general counsel for charities and other tax-exempt and nonprofit organizations, advising them on a variety of governance and tax matters.
Kristy Caron
Tax Attorney
Kristy is a Partner and member of the Fox Rothschild Tax Controversy & Litigation Practice Group. She Kristy has a diverse practice in which she provides strategic advice to individuals and businesses on corporate, tax, and real estate matters. Kristy has significant experience structuring and assessing the tax benefits and risks of real estate and other investment transactions, advising on corporate governance and organizational matters, and representing individuals and entities in state and federal tax examination and litigation proceedings. Kristy is particularly well-versed in cannabis tax matters, tax credits, and charitable land donations. She is also a contributor to the Fox Rothschild Tax Controversy & Financial Report blog. Prior to joining Fox Rothschild, Kristy was Vice President for Due Diligence and Associate General Counsel at a Georgia-based real estate and business consulting firm. Before that, she was a tax attorney with a well-respected regional law firm in Atlanta and served as in-house counsel for a land and natural resources consulting firm. Kristy was a staff attorney in civil and criminal matters for the Colorado Court of Appeals, where she previously served as a law clerk to Judge Marsha Piccone and Judge John R. Webb. She also clerked for several civil judges in Connecticut Superior Court. Kristy is also a contributing author to the National Income Tax Workbook of the Land Grant University Tax Education Foundation.
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