Small Business Tax Equity Act of 2019

I 116TH CONGRESS 1ST SESSION H. R. 1118 To amend the Internal Revenue Code of 1986 to allow deductions and credits relating to expenditures in connection with marijuana sales con- ducted in compliance with State law. IN THE HOUSE OF REPRESENTATIVES FEBRUARY 8, 2019 Mr. BLUMENAUER introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to allow deduc- tions 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 Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Small Business Tax 4 Equity Act of 2019’’. 5 VerDate Sep 11 2014 19:33 Feb 11, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H1118.IH H1118 pamtmann on DSKBFK8HB2PROD with BILLS 2 •HR 1118 IH SEC. 2. ALLOWANCE OF DEDUCTIONS AND CREDITS RELAT- 1 ING TO EXPENDITURES IN CONNECTION 2 WITH MARIJUANA SALES CONDUCTED IN 3 COMPLIANCE WITH STATE LAW. 4 (a) IN GENERAL.—Section 280E of the Internal Rev- 5 enue Code of 1986 is amended by inserting before the pe- 6 riod at the end the following: ‘‘, unless such trade or busi- 7 ness consists of marijuana sales conducted in compliance 8 with State law’’. 9 (b) EFFECTIVE DATE.—The amendment made by 10 this section shall apply with respect to taxable years end- 11 ing after the date of the enactment of this Act. 12 Æ VerDate Sep 11 2014 19:33 Feb 11, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6301 E:\BILLS\H1118.IH H1118 pamtmann on DSKBFK8HB2PROD with BILLS