Cannabis accounting and 280E tax, led by CPAs
We keep the books, file the returns and manage compliance for licensed cannabis operators nationwide, with cost accounting built around Section 280E and IRC 471 so your records stand up to the IRS and your state regulator.
Led by Rick LaNeve, CPA, past chairman of the New York State Society of CPAs Cannabis Committee.
Which Buds Group service solves your cannabis challenge?
Seven divisions, each staffed for cannabis. Use one, or bring us in across your whole operation.
Bookkeeping, monthly close, invoicing and bill pay, financial analysis and fractional CFO support, set up for 280E from day one.
Federal and state returns, 280E planning and IRC 471(c) cost accounting, with state-by-state guidance.
Licensing support, METRC and seed-to-sale tracking, and ongoing state regulatory compliance.
Operational advisory, mergers and acquisitions, financing and multi-state expansion planning.
Capital raises, investor relations and deal structuring for licensed operators.
HR, payroll and workforce compliance for cannabis employers.
Risk assessments, security plans, equipment and installation, guards and virtual CSO services.
Not sure which you need? Start with a free review of your 280E position.
Book a free 280E reviewThe Buds Group difference
Why cannabis operators choose Buds Group
A dispensary, cultivator or license applicant needs accountants who understand 280E, state compliance and the realities of a plant-touching business. Five things set us apart from generalist firms and from cannabis practice groups bolted onto larger companies.
Cannabis specialists
Cannabis is our focus. Federal tax treatment, state programs and the rescheduling process affect every client we have, so we follow them every day. If you own other businesses and want one accountant for all of them, we can take those on too.
Senior advisors on your account
Our senior advisors bring 20 to 30+ years of experience, and they stay involved in client engagements day to day, not just at the kickoff meeting.
Including Bruce Andersen, CPA and Naomi Granger, CPA, founder of NACAT Pros.
We stay through execution
We don't stop at a recommendation. We implement it with you: the chart of accounts, the cost allocation, the compliance calendar and the CFO work that follows.
Built around your license
A single-location dispensary, a multi-state operator, a cultivator and a pre-license applicant need different things. We scope each engagement around your license types, states and goals.
Clear scope before we start
We quote after we understand your operation, and we agree on what's included before any work begins.
Rescheduling status, as of November 5, 2026
Does 280E still apply to your business?
State-licensed medical cannabis moved to Schedule III on April 28, 2026 (the order is being challenged in court). The DEA has so far registered only medical-only dispensaries, and the IRS hasn't said whether 280E relief depends on that registration.
Adult-use cannabis remains Schedule I pending the DEA administrative law judge's recommendation, so 280E still applies to it.
Leadership
The people you'll work with
Our senior advisors work directly with clients.
Insights
Latest from our CPAs
· Rick LaNeve
The Bifurcation Is Official: 280E Relief for Medical Cannabis Is Here
State-licensed medical cannabis is in Schedule III; adult-use is not. What it means for medical-only and dual-license operators' books and audit files.
· Rick LaNeve
Executive Order Signed: Cannabis Moving to Schedule III
The December 18, 2025 executive order expedited cannabis rescheduling. What it did, where 280E relief applies today, and the steps operators should take.
· Rick LaNeve
How to Prepare Your Cannabis Accounting for Schedule III Rescheduling (Step-by-Step)
A step-by-step guide to auditing your books, moving to GAAP and documenting deductions as cannabis moves to Schedule III, medical first and adult-use pending.
Clients
Our growing client list
Common questions from operators
What makes cannabis accounting different from regular accounting?
Section 280E of the Internal Revenue Code bars a business that traffics in a Schedule I or II controlled substance from deducting ordinary business expenses or claiming credits. Cost of goods sold is still allowed, so how you capture inventory costs under IRC 471 directly shapes your federal tax bill. Since April 28, 2026, state-licensed medical cannabis is in Schedule III (the order is being challenged in court), and medical-only operators have the clearest path out of 280E. Adult-use activity remains Schedule I and is still subject to it, and relief for operators with both licenses is unresolved: the DEA hasn't registered any so far, and the IRS hasn't said whether relief depends on registration. If you sell under both kinds of license, your books need to keep the two apart.
What types of cannabis businesses do you work with?
We work with single-location dispensaries, multi-state operators, cultivators, manufacturers and processors, and pre-license applicants preparing for regulatory review. Our clients are licensed operators in regulated markets across the country.
Do you work with multi-state operators?
Yes. We handle consolidated reporting across entities, state-by-state tax and compliance, and planning for expansion into new markets. Each state has its own excise taxes, tracking system and reporting calendar, and we manage them together in one engagement.
Do you only advise, or do you also implement?
We implement. After we agree on a plan, we stay with you through execution: restructuring your chart of accounts, setting up cost allocation, running compliance calendars and providing fractional CFO support. Advice that never reaches your books doesn't help at filing time.
How long does it take to get set up?
The initial assessment and setup usually takes two to four weeks. We phase in changes such as seed-to-sale integration and chart of accounts restructuring so your day-to-day operations keep running while we work.
What happens in a free 280E review?
One of our CPAs looks at how your costs are allocated between cost of goods sold and nondeductible expenses, and where your books need attention. There's no charge for the review. If we can help further, we'll explain how and send you a quote.
Ready to fix your cannabis accounting?
Start with a free 280E review. One of our CPAs will look at how your costs are allocated and where your books need attention.
Or call (917) 768-0300