Questions

What is the process to open a marijuana business as a non profit collective?

I know the process of formation of businesses and Accounting process of a non profit, however, I would like to know if a marijuana collective needs a special election with the IRS other than 501c3 election? As well as special accounting processes?

1answers

I am not a tax expert and this is not legal advice. But I believe that the only reason to secure a 501c3 (as opposed to one of the designations for a nonprofit membership group) would be to provide tax deductions to donors. If all you need is an entity that won't pay income tax (like a fraternal org), then that might be an easier way to go.

Depends on what you are trying to achieve.


Answered 4 years ago

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