This bill exempts a trade or business that conducts marijuana sales in compliance with state law from a provision in the Internal Revenue Code that prohibits business-related tax credits or deductions for expenditures in connection with trafficking in controlled substances.
To amend the Internal Revenue Code of 1986 to allow deductions and 
  credits relating to expenditures in connection with marijuana sales 
                conducted in compliance with State law.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. ALLOWANCE OF DEDUCTIONS AND CREDITS RELATING TO EXPENDITURES 
              IN CONNECTION WITH MARIJUANA SALES CONDUCTED IN 
              COMPLIANCE WITH STATE LAW.

    (a) In General.--Section 280E of the Internal Revenue Code of 1986 
is amended by inserting before the period at the end the following: ``, 
unless such trade or business consists of marijuana sales conducted in 
compliance with State law''.
    (b) Effective Date.--The amendment made by this section shall apply 
with respect to taxable years ending after the date of the enactment of 
this Act.
                                 <all>
To amend the Internal Revenue Code of 1986 to allow deductions and credits relating to expenditures in connection with marijuana sales conducted in compliance with State law.
To amend the Internal Revenue Code of 1986 to allow deductions and credits relating to expenditures in connection with marijuana sales conducted in compliance with State law.
Official Titles - House of Representatives
Official Title as Introduced
To amend the Internal Revenue Code of 1986 to allow deductions and credits relating to expenditures in connection with marijuana sales conducted in compliance with State law.
Rep. Mace, Nancy