Tag Archives: taxes

New Fund: Marin Alliance for Medical Marijuana (MAMM)


The following was written by Lynnette Shaw, of Marin Alliance for Medical Marijuana (MAMM):

Dear medical cannabis supporter,

The federal government has launched a new assault against medical cannabis, a threat that has the potential to eliminate EVERY licensed dispensary in this country. It is going to take all of us working hard together to win this fight. We are writing to you today for support as the new battle has begun in medical cannabis, a battle that we can only win by uniting our resources!

The IRS has begun a series of audits of licensed California dispensaries to determine tax liabilities and the initial results are staggering. Using an old tax code instituted by Reagan, 280e, the IRS has determined that dispensaries are disallowed from writing off any expenses of doing business, including the cost of medicine!

Since the Marin Alliance received the first IRS final determination disallowing 100% of ANY standard business tax deductions, we will be filing the first appeal on the issue by the end of March. We are the longest standing, licensed dispensary in America, licensed and zoned since 1997. We have successfully fought in court many times to defend our collective rights. The Marin Alliance for Medical Marijuana is asking for everyone to stand with us in our effort. Please make a donation today to help us fight the good fight and win a huge victory for medical cannabis!

We have a winning strategy. Fortunately, the Marin Alliance invested every penny for the last ten years in our legal defense tactic. Attorney Greg Anton and his team have done the heavy lifting – We spent $400 K preparing a secret weapon – our Supreme-Court-ready case with its huge body of evidence, shows the irrefutable proof, clearly explained and cross-referenced, that the Schedule I status of medical marijuana is irrational, unfair, unscientific, unjustified, and unconstitutional.

As a defendent, I have the right to enter all evidence and any argument to explain my actions. Our repeated requests for a “rational
basis review” in the Federal civil lawsuit launched in 1998 (by President Clinton) stopped the Federal court procedures against the Marin Alliance.

They knew, as they know now, that there is no logical or rational reason that medical cannabis should be a Schedule I substance. We appealed for ten years, never getting our review. It ended up as a stalemate, with the MAMM remaining open as a result.

The Federal courts were so unwillng to conduct a Rational Basis Review,the Federal civil lawsuit against us was never pursued any further. This took ten years of litigation, but we were never closed nor raided.

The IRS moves much more quickly, however. This is gearing up to be the definitive battle for medical pot, where we win big, or lose big. Within a few months they can close every dispensary or collective in the nation using the enormous debt, forfeiting all our houses when we cannot pay, and then jailing us all for tax evasion.

This also means zero sales tax bonanzas to the State or local government. I wonder if the State will also be required to surrender to
the Feds all the sales taxes we paid? We would like an amicus curae from the State, the California Medical Association, Veterans groups, and every group concerned, as this moves very quickly forward. This will take a lot of effort and resources, but the results could be the re-scheduling of marijuana immediately.

Green-Aid, a group that helps raise tax deductable donations for efforts such our own, is re-activating our account. We are asking you
to help us raise $100K right now to update the case for 2009, 2010, 2011 and to again retain our brilliant attorney Greg Anton and his
legal team.

Mr. Anton has been long-prepared to argue how irrational and unconstitutional it is, to continue the purposeful mis- scheduling of marijuana…..Then there is the wild card – what if the IRS wants a formal clarification on this issue, also? Any IRS court decision that is
appealed to the 9th Circuit / Supreme Court will be on a very fast track because it is a tax issue.

With a lot of public and political support calling for a Constitutional Rational Basis Review, this could be our doorway to overturn Schedule I for marijuana, but we cannot do it without your help! As the federal government has again stepped up raids of dispensaries across the nation it is clear that we need a cohesive strategy moving forward. Every medical marijuana group who gets raided or beset by the IRS should consider asking for a rational basis review, and mention in the media, that the Schedule I status of marijuana is irrational, unfair, completely unscientific, and unConstitutional. Our Constitution stands between us and the overwhelming oppressor that is attacking us mercilessly and keeping medicine from those in need.

Together we are strong. Together we are capable of winning this fight in court. Marin Alliance is prepared to go the distance. Please
donate today and continue to send out the message than it is irrational that medical cannabis be on Schedule I, with “no medical use recognized anywhere in the USA” claimed, when there are clear, irrefutable medical benefits to this amazing plant, legally recognized and codified by 16 States and the District of Columbia.


Lynnette Shaw Marin Alliance for Medical Marijuana (cbcmarin@gmail.com)

Filed under Fund
Mar 15, 2011

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