Why Hire a Cannabis Accountant?
Having an accountant with experience in cannabis accounting is the best way to grow your cannabis business and avoid major hindrances. Today the number of cannabis businesses are increasing and this is because more and more states are legalizing the use of medical and recreational cannabis. The cannabis business is a business just like any other that faces many issues that all other businesses face. Cannabis businesses have challenges that are unique theirs.
if you are a cannabis owner, one of your problems is how to open a bank account. The reason for this is because cannabis is still a substance that is controlled on the federal level, many banks are doubtful whether to take cannabis clients or not. Many banks dont want to take cannabis business owners as clients despite having federal government guidelines written to banks for these types of businesses. A good cannabis accountant can help you find a good banking service for your needs. He will try to find one with the lowest possible cost.
Generally accepted accounting principles are important for business success. If you wan to survive your cannabis business then these principles should be followed closely. It is like being examined under microscope if you are in this business. Small details are important.
Federal agencies still closely monitor the cannabis businesses and closely examine their business practices. The SEC and the IRS are the most dangerous agencies for the cannabis business. They can easily fine businesses and refer criminal charges.
When these agencies decide to examine your books, the only way to avoid serous consequences is to use generally accepted accounting principles or GAAP.
Many business owners find taxes difficult. However, the IRS has made things really difficult for cannabis businessmen by limiting the tax deductible expense severely. If you hire a cannabis accountant who has plenty of experiences in the cannabis business, he can help you with tax planning and tax compliance.
The chances of a cannabis business to be audited is really high. Audits are not a pleasant experience, but when the agency auditing you feels that your entire industry is illegitimate, then audits can really be painful.
Your cannabis accountant can help ensure that you are fully complying with the document requests from the audit and can push back on the unreasonable claims made by the auditor. If you have a cannabis accountant, then this is the only way that you can survive the ordeal of an audit.
click for more information on cannabis industry accountant services. If you view here for more you will find cannabis accountant services. One of the best companies offering cannabis accounting services is AD Virtual Services. Learn more here about AD Virtual Services.