The Tricky Thing About Medical Marijuana and Your Tax Return

The District of Columbia and 23 states have legalized medical marijuana.

That’s because the federal government still recognizes the drug as illegal.

What about state tax returns?

“As the name suggests, and I assume people are using it for medicinal reasons, it may qualify as a deduction under the medical expense area,” says Bob Meighan, vice president of TurboTax.

Medicinal marijuana is a murky tax topic which is handled on a state-by-state basis.