Accounting For The Cannabis Industry: What You Should Know

Accounting For The Cannabis Industry: What You Should Know

Keys Audits Cannabis companies are experiencing audits regularly, and non-compliant businesses face years of litigation, significant legal fees, and back taxes. In more extreme cases, significant penalties have been handed out for lack of accuracy, such as in the Alterman-Gibson court case, with a $78,000 accuracy penalty, and the Northern California Small Business Assistants case,…

Tax Planning:  Anticipating Biden’s Tax Increases. What does it mean for small investors and small businesses?

Tax Planning: Anticipating Biden’s Tax Increases. What does it mean for small investors and small businesses?

Keys Income tax:  Under Biden’s recent proposal, the top marginal income tax rate would go up to 39.6%, from 37%.  That is where it was during President Barack Obama’s administration. Capital gains tax:  The proposed capital gains tax increase more or less doubles the rate that high-earners would pay when they sell investments.  The current…

Financial Statement Presentations: What you should know

Financial Statement Presentations: What you should know

Keys Proposed New Income Statement Structure: With no set structure for the income statement under current IFRS Standards, companies use different formats to present their results, making it difficult for investors to compare financial performance across companies. Under the proposals, companies would be required to present three new subtotals in their income statement, effectively allocating their income…

Accounting for PPP Loans: What you Should Know

Accounting for PPP Loans: What you Should Know

Keys Accounting and Reporting Considerations Currently, there is no specific guidance in the U.S. GAAP that addresses the accounting by an entity that obtains a forgivable loan from a government entity. However, due to overwhelming demand for some form of guidance for accounting for PPP loans, the American Institute of Certified Public Accountants, in consultation…