PROACTIVE TAX

Tax Planning & Strategy

Proactive strategies to minimize liability, manage 280E exposure, and avoid end-of-year surprises.

Tax preparation looks back. Tax planning looks forward.

By the time December 31st rolls around, it’s often too late to change your outcome for that year.
MD Accounting believes in year-round engagement, estimating liability mid-year and implementing legal, and
proactive strategies to reduce your burden. This is the difference between simply recording history and
actively shaping your financial future.

For cannabis clients, tax planning is a survival skill. We analyze expenses through the lens of IRC 280E,
working to legally maximize Cost of Goods Sold (COGS) allocations. We review inventory valuation methods and
labor tracking to help ensure every defensible deductible dollar is captured, and we weigh entity structure
and operational flow to reduce unnecessary exposure.

For traditional businesses, we focus on timing and strategy: equipment purchases to take advantage of depreciation rules,
accurate quarterly estimated payments to avoid underpayment penalties, and retirement contributions and other vehicles that
can lower taxable income while building personal wealth.

What’s included

280E Mitigation: Analyze COGS allocations and inventory methods to legally maximize deductions under strict tax rules.
Estimated Tax Calculations: Quarterly payment calculations to prevent penalties and keep cash flow predictable.
Asset Purchase Timing: Guidance on when to purchase equipment/vehicles to maximize bonus depreciation or Section 179 benefits.
Entity Restructuring: Ongoing structure review to ensure you’re using the most tax-efficient vehicle for your current revenue level.

No Surprises

Mid-year projections and quarterly estimates so April doesn’t create a cash-flow shock.

280E-Aware

COGS and labor/inventory alignment designed to reduce unnecessary exposure for cannabis operators.

Smarter Timing

Strategic purchase and contribution planning to capture benefits when they matter most.

Want to reduce your tax burden proactively?

Tell us what type of business you run and what you’re trying to optimize this year.

Mid-year projections and strategy
Estimated payments and cash planning
280E-aware planning for cannabis operators

Request submitted — we’ll be in touch shortly.