Cannabis Tax and Banking in a Sale
Tax and banking in a cannabis business sale
Section 280E still applies to adult-use businesses, state cannabis taxes vary widely, and banking access is limited. These pages explain how tax and banking shape price, structure and closing, from 280E and state decoupling to holdbacks, purchase-price allocation and post-closing bank accounts.
Federal and state law current as of September 2026 — verify with counsel.
280E by license type
How section 280E lands on dispensaries, cultivators, manufacturers, distributors, labs and management companies, with the inventory rules and cases.
280E explained for buyers and sellers
What IRC 280E disallows, who is still caught by it after the April 2026 medical rescheduling order, a worked tax example, and how it shows up in a sale.
Cannabis banking status
Where cannabis banking stands in September 2026: FinCEN's count of 816 institutions, the 2014 SAR guidance, SAFE Banking Act S.4942, and what Schedule III changed.
Cannabis excise and potency taxes by state
2026 state cannabis excise, wholesale and THC potency tax rates with revenue-department sources, recent changes, and what they mean in a sale.
Cash handling and payment processing
How dispensaries take payment in 2026: the Visa and Mastercard cashless ATM crackdown, PIN debit, ACH, armored transport, and what each means for buyer diligence.
Opening a bank account after acquisition
What banks and credit unions ask a cannabis buyer for, why the seller's account rarely transfers, realistic timing, fee ranges.
Purchase-price allocation in cannabis deals
How section 1060, Form 8594 and section 197 apply when a cannabis business is sold, why 280E changes what buyers want, and a worked example.
Rescheduling tax scenarios
Four tax scenarios after the April 2026 medical rescheduling order, with worked 280E arithmetic, the IRS refund-claim fight, and state conformity.
State 280E decoupling
Statute-by-statute table of states that let licensed cannabis businesses deduct ordinary expenses on the state return despite 280E, with dates.
Tax liabilities and holdbacks in a sale
How unpaid 280E, excise and sales taxes follow a cannabis business through a sale: successor liability, bulk-sale notices, clearance and holdbacks.