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DOJ Reschedules Medical Cannabis to Schedule III: Key Considerations for Medical Operators

Last week marked a significant development for the cannabis industry. On April 23, the U.S. Department of Justice (DOJ) announced that state-licensed medical cannabis has been rescheduled to Schedule III under federal law (effective April 28), while also initiating additional Drug Enforcement Administration (DEA) hearings in June 2026 that could lead to broader rescheduling decisions, including potential implications for adult-use cannabis.

While the regulatory landscape will continue to evolve, medical cannabis operators should focus on some immediate considerations: 

  • Evaluating DEA registration is now critical for medical license holders: With medical cannabis moving to Schedule III, DEA registration has become an important consideration for qualifying medical operators. Registering helps align operations with the updated federal framework; however, it comes with both known and currently unknown restrictions and regulations. The DEA has established a 60-day window during which companies that register will benefit from an expedited review process, so time is of the essence for companies considering whether to register.
  • Treasury and IRS guidance on Section 280E: State-licensed medical cannabis operators will no longer be subject to Section 280E. Section 280E relief is expected to be effective for the full 2026 taxable year, and the Treasury has been directed to consider retroactive relief for prior tax years. 
  • Planning for continued and federal policy changes: This announcement is not the final step in the rescheduling process. Upcoming DEA hearings will hopefully result in broader changes that will positively impact adult use operators as well. As a result, all cannabis companies regardless of their license status should be evaluating their current tax positions, entity structuring, and long-term business strategies.

We encourage cannabis license holders to begin proactive discussions now around how these changes may affect current operations and how to prepare for additional federal developments ahead. If you are subject to DEA registration and have questions, we can assist with introductions to attorneys who have experience in the DEA registration process. 

For questions about DEA registration, tax implications, or how rescheduling could impact your business, please reach out to our team below: 

Scott Hammon, CPA 
Industry Group Leader, Cannabis 
SHammon@mgocpa.com  

Curtis Winar, CPA/CFF, CVA 
Tax Partner 
CWinar@mgocpa.com 

Sarah McGuire, CPA 
Consulting Partner 
SMcGuire@mgocpa.com

MGO Sponsors 2026 CSMFO Annual Conference

The MGO state and local government (SLG) team will be attending the 2026 CSMFO Annual Conference from February 24-27.  

MGO team members attending the conference include: 

  • David Bullock, State and Local Government Industry Leader 
  • Scott Johnson, Consulting Partner 
  • Kyle O’Rourke, Consulting Partner 
  • Ben Lau, Audit Partner 
  • Craig Harner, Audit Partner 
  • Linda Hurley, Audit/Consulting Partner 
  • Marilyn Toledo, Director 
  • Debra Auker, Senior Manager 
  • Steve Montano, Senior Manager 
  • Kathleen Foster, Manager 
  • Agustin Esparza, Manager 

The 2026 CSMFO Annual Conference will be held in Palm Springs, CA. If you are attending and would like to set up a time to meet with MGO, please reach out to us today. 

MGO, Foley Hoag to Host Webinar on Cannabis Rescheduling

Join Foley Hoag and MGO for a fast‑paced, interactive Q&A on cannabis rescheduling on Thursday, February 26—where we talk about what’s changing, what’s actionable, and what to do now.

We’re flipping the webinar script: a crisp 5–10‑minute primer on:

(1) new opportunities for tax savings and credits and

(2) how to prepare for new investment—then the rest is your questions, crowdsourced and answered. Bring your real-world issues and scenarios; we’ll tackle them in real time. 

RSVP now using the Registration Link below.

Register Now

MGO Elevates Scott Diem, Eric Gnospelius, and Justin Zucker to Partner

Los Angeles, California — MGO CPA (MGO) is pleased to announce that three of the firm’s leaders have been named Partner. Scott Diem, Eric Gnospelius, and Justin Zucker assumed their new leadership positions, effective January 1, 2026.  

“Scott, Eric, and Justin embody what it means to be where our clients and our people need us, when they need us,” said Kevin O’Connell, CEO and Managing Partner. “They lead with accountability, clarity, and care, which means they show up at critical moments and ceaselessly deliver thoughtful solutions that help our clients move forward with confidence. Their promotions reflect the impact they’ve made and the leadership we continue to invest in as we grow.” 

Scott Diem is an Assurance Partner focused on state and local government assurance and consulting. With a career that began at MGO in 2008, Scott supports governmental organizations through complex audits and advisory engagements, helping them meet critical reporting and issuance deadlines with confidence. He is known for his collaborative approach, technical precision, and ability to translate complex accounting and operational challenges into clear, actionable guidance. Scott works closely with stakeholders across departments to improve efficiency, strengthen communication, and enhance organizational coordination. He also serves as a Board Member of the Association of Governmental Accountants (AGA) Silicon Valley Chapter, supporting education on timely and relevant issues impacting governmental entities. 

Eric Gnospelius serves as Chief People Officer and now Partner, leading the firm’s people strategy with more than 20 years of experience across organizational development, learning and development, performance management, compensation, talent acquisition, and succession planning. Throughout his career, Eric has successfully designed and implemented strategic and corporate development initiatives that strengthen organizational health and position firms for long-term success. His leadership focuses on building high-performing teams, cultivating strong leadership pipelines, and creating an employee experience that empowers professionals to thrive and deliver exceptional client service. 

Justin Zucker is an Assurance Partner focused on beverage, technology, and biotech companies within the consumer products and manufacturing and distribution sectors. With experience guiding both public and private companies through IPOs, business combinations, SOX 404(a), and SEC reporting, Justin brings a deep understanding of large-scale business operations and regulatory complexity. Known for his enthusiastic, positive energy and client-first approach, he combines technical experience with a commitment to delivering a high-quality engagement experience. Justin began his career in 2009 at Deloitte and within industry, giving him a well-rounded perspective on the challenges faced by growing businesses. 

These promotions reflect MGO’s continued investment in leadership that strengthens the firm’s culture, deepens client relationships, and supports long-term, sustainable growth. 

for new ways to more holistically advise his clients on business, tax and financial planning matters. 

Webinar: Unlocking Tax Credits & Incentives for Wineries and Vineyards

The recent BBB legislation introduces some of the most significant tax changes wineries have seen in years including restored R&D expensing, updated depreciation rules, and shifts to energy and sustainability incentives. 

To help wineries understand what these updates mean heading into 2026, MGO hosted a focused webinar on January 8, 2026. Our winery tax specialists, Michael Silvio and Robert Reitman, walked through the key changes and where meaningful savings opportunities may be available. 

Covered in this session: 
• How BBB impacts R&D, equipment expensing, and production property 
• Potential retroactive opportunities for 2022–2024 
• Energy-related incentives and what’s changing 
• Strategies for aligning capital and process investments with the new rules 

If your winery is planning upgrades, innovation initiatives, or sustainability projects, this is a timely overview to help inform 2026 planning. 

MGO Business Management Team Earns Major Industry Accolades Across Entertainment, Sports and Media Industry

November 19, 2025 [Los Angeles, California] – MGO CPA (MGO) is proud to announce that several of its Business Management professionals have been honored with prestigious industry accolades, underscoring the firm’s commitment to empowering innovators, change-makers, and risk-takers, reaffirming its commitment to fuel growth and possibility through inventive thinking and an unwavering belief in what’s possible for its clients.  

This year, The Hollywood Reporter recognized Anthony Smalls, III, CPA, CGMA and Michael Meschures, MBA, on its Power Business Managers list, which highlights the financial minds behind some of the biggest names in Entertainment.  

Trusted Advisor named Smalls, Meschures, Christine Choi, CPA, and Daniel Marcus, CPA to its Trusted 100: Business Managers list, celebrating the individuals’ leadership in guiding talent and executives across entertainment, sports, and media.  

Variety featured Smalls, Meschures, Choi, and Marcus among its Business Managers Elite honorees, spotlighting those behind the curtain who help to shape the financial futures of the entertainment world’s brightest stars.  

Rounding out this incredible run of recognition is Billboard, who included Smalls in its Top Business Managers list, honoring his exceptional ability to advise and support artists and executives as they navigate their careers and financial strategies at the same time.  

“MGO is honored to see our team members recognized in these industry-leading lists,” said Kevin O’Connell, MGO’s CEO and Managing Partner. “From day one, our firm has strived to embrace a maverick mindset by delivering differentiated value through fresh perspectives and creative approaches. These individuals confidently pursue new ideas, see opportunity where others may see limitations, and navigate complexity with forward-thinking solutions. This mindset is our catalyst with an unshakeable belief in possibility. I want to congratulate Tony, Michael, Christine, and Daniel for embodying this maverick spirit—for fueling possibility not only for our clients, but for what’s on the horizon for the entire industry.”  

Guided by our ethos of fueling growth and possibility, our Business Management team continues to go beyond expectations to uncover new pathways for growth and impact across entertainment and beyond. We extend our heartfelt congratulations to our honorees and look forward to the continued value and impact they bring to our clients and to the firm. 

About MGO CPA 

MGO is a global team of financial service professionals serving the full scope of needs shaping our clients’ business and personal goals. Our team members stand ready to help our clients grow through assurance, tax, consulting, outsourcing, and private client services. With human care at the core of everything we do, we provide outstanding service experiences, delivered with sophisticated digital tools that work effortlessly for our clients. Our global platform serves clients in over 100 countries and in 40 different languages. From offices throughout the US, and India, we engage our clients in real-time when and where they need us the most. We are honored to work alongside innovators in culture-defining industries. Whether serving a pre-revenue startup, industry leader, high-net-worth individual, or trusted government agency, we provide holistic financial guidance to shape long-term success. 

MGO to Attend the LD Micro Main Event XIX

Los Angeles, California–(Newsfile Corp. – October 7, 2025) – MGO CPA, a global team of more than 500 financial service professionals providing assurance, tax, consulting, outsourcing, and private client services, announced today that it will be attending the 19th annual Main Event at the Hotel del Coronado in San Diego, California.

“The Main Event is a culmination of over 25 years of hard work and passion for small company investing. There is no organization on planet Earth that cares more about small companies succeeding than LD. To be able to connect with our community in one of the most beautiful settings imaginable brings me considerable joy. We look forward to welcoming all of our patrons and ensuring that they have a wonderful time,” stated Chris Lahiji, Founder of LD Micro.

Event: LD Micro Main Event XIX
Dates: October 19-21

Register to watch the virtual presentation here.

Summary of LD Micro Main Event XIX

The 2025 LD Micro Main Event XIX will run from October 19th to the 21st at the Hotel del Coronado in San Diego, California.

The first day will consist of registration, keynote speakers, and some gorgeous views of the Pacific. It will be followed by two full days of company presentations and one-on-one investor meetings concluded with a closing reception.

This three-day event will feature around 120 companies, presenting in half-hour increments, and attending private meetings with investors.

About MGO CPA

MGO is a global team of financial service professionals serving the full scope of needs shaping our clients’ business and personal goals. Our team members stand ready to help our clients grow through assurance, tax, consulting, outsourcing, and private client services.With human care at the core of everything we do, we provide outstanding service experiences, delivered with sophisticated digital tools that work effortlessly for our clients.Our global platform serves clients in over 100 countries and in 40 different languages. From offices throughout the US, and India, we engage our clients in real-time when and where they need us the most. We are honored to work alongside innovators in culture-defining industries. Whether serving a pre-revenue startup, industry leader, high-net-worth individual, or trusted government agency, we provide holistic financial guidance to shape long-term success.

About LD Micro

LD Micro is dedicated to being the definitive resource in the small-cap space. From its industry-recognized index and robust data to hosting some of the most influential events each year, LD Micro’s mission is to provide unparalleled access and insight for those seeking the next generation of great companies.

To learn more about LD Micro, visit:
http://www.ldmicro.com

To learn more about Freedom US Markets LLC, visit:
https://www.freedomcapmkts.com/

To present or register, please contact registration@ldmicro.com.

For further information on MGO CPA:

MGO CPA
Brittany Roe
+1 (310) 746-2125
BRoe@mgocpa.com
www.mgocpa.com

Webinar: Cybersecurity Seminar for Tribal Leaders

watch now

Tribal governments and gaming enterprises are increasingly targeted by cybercriminals seeking to exploit financial systems, vendor relationships, and operational infrastructure. The SAFE (Success Against Fraud Events) framework empowers Tribal council members to lead strategic cybersecurity initiatives that protect sovereignty, revenue, and community programs. 

The Cybersecurity Seminar for Tribal Leaders – SAFE (Success Against Fraud Events), led by MGO and Columbia Bank, provides actionable insights into fraud prevention, incident response, and federal funding opportunities — tailored for Tribal leadership. 

Why Cybersecurity Matters for Tribal Councils 

Tribal casinos generated over $43.9 billion in revenue in 2024, making them high-value targets for ransomware, phishing, and insider fraud. Cyberattacks can disrupt essential services, damage reputations, and result in regulatory penalties. Tribal councils must lead with informed governance and proactive risk management. 

Key Topics Covered 

  • Cyber threats targeting Tribal financial systems and gaming operations 
  • Fraud prevention strategies for Tribal governments and enterprises 
  • Incident response planning and cross-department coordination 
  • Federal cybersecurity grants and funding opportunities 
  • Building a culture of accountability and ethical leadership 
Watch Now

Speakers

Adam Wisnieski, CISA

Consulting Partner, MGO

With a focus on aligning IT Risk, regulatory and SOX compliance, cybersecurity and operational risk with clients’ business strategies, Adam provides practical, forward-thinking solutions that help you navigate today’s rapidly evolving risk landscape. Having worked across a wide range of industries, including financial services, life sciences/healthcare, manufacturing, and retail, he brings a broad perspective and a deep understanding to each client relationship.

Brett McLane

SVP and Relationship Manager, Columbia Bank

Brett McLane has worked in commercial banking for over 20 years, working throughout the U.S. For 10 of those years, his focus has been on Native American Banking, including tribal gaming. Brett joined the Columbia Bank Native American Banking team in April 2025 and lives in Reno, Nevada.

Critical SharePoint Vulnerability: What to Know

Microsoft has disclosed a critical vulnerability affecting on-premises SharePoint Server 2016, 2019, and Subscription Edition. The flaw allows attackers to execute code remotely without authentication — potentially giving them access to sensitive documents, credentials, and connected systems. SharePoint Online is not affected. 

Exploitation is already underway, with attacks reported against businesses, government agencies, and local municipalities. Organizations using on-premises SharePoint should prioritize reviewing patch status, especially for any internet-facing servers. In some cases, taking those systems temporarily offline may be appropriate while updates are applied. 

Beyond updates via patching, there are broader risks to consider. SharePoint often integrates with Teams, Outlook, and OneDrive — meaning a successful breach can enable attackers to move laterally across your environment and maintain long-term, undetected access. Even after remediation, stolen machine keys could allow forged access attempts if not addressed. 

Staying ahead of these threats requires more than immediate technical fixes. Organizations should evaluate endpoint protection, improve logging and visibility, and consider a post-incident review to understand potential exposure. 

How MGO Can Help 

If your organization uses on-premises SharePoint, now is the time to act. The threat is active, and the window to reduce risk is narrowing. 

MGO’s Cybersecurity and IT Risk Advisory team , is closely tracking this development and is available to help you respond. Whether you need support validating critical system updates via patches, reviewing monitoring capabilities, or planning next steps through post-incident review, we’re here to help. 

Reach out to our team today and take proactive steps to safeguard your systems and data. 

Webinar: Navigating the 2025 Tax Shift: What Your Business Needs to Know

With the 2025 budget reconciliation bill now signed into law, a range of new tax and policy changes are set to take effect. This one-hour webinar focuses on how these changes may impact businesses, public entities, and advisors — and what steps to consider next. 

Presenters will walk through key provisions and explain how they may affect tax planning, operations, and compliance. Topics include updates to the state and local tax (SALT) deduction cap, pass-through entity tax (PTET) programs, research and development (R&D) cost treatment, energy tax credits, and IRS enforcement of the Employee Retention Credit (ERC). The session also covers the return of the EBITDA limitation and what it means for business financing. 

What we cover: 

  • New SALT cap rules and how they interact with state-level PTET programs 
  • Changes to how businesses handle R&D expenses under Section 174 
  • Adjustments to clean energy tax credits and key September 2025 deadlines and planning requirements 
  • IRS enforcement changes affecting ERC claims 
  • Practical takeaways for tax planning and compliance going forward 
  • Various business tax provision updates 
Watch now

Adam Wisnieski Joins MGO’s Consulting Team 

Los Angeles, CA – May 27, 2025 — MGO LLP, CPA and consulting firm, is pleased to announce the addition of Adam Wisnieski as a Partner in our Consulting practice. With more than 20 years of experience leading IT Risk, regulatory and SOX compliance, cybersecurity, and operational risk initiatives, Adam brings a strong record of aligning risk with strategy across a wide range of industries. 

In his new role, Adam will focus on helping organizations identify and navigate complex risk challenges, delivering governance, compliance, and risk solutions that are both strategic and poised for long-term success.  

“Adam’s approach to risk is both insightful and human-centered,” said Kevin O’Connell, CEO and Managing Partner. “He understands that effective compliance isn’t just about checking boxes. It’s about helping organizations build trust, operate with resilience, and make confident decisions in an evolving regulatory environment.” 

Throughout his career, Adam has worked with executive teams, boards, and cross-functional stakeholders to develop forward-looking compliance frameworks. He is known for facilitating enablement around governance, risk, and compliance topics, and frequently contributes thought leadership to top media outlets regarding the business impact of emerging regulations. 

Before joining MGO, Adam played a key role in delivering enterprise-level risk strategies for Fortune 500 companies, including global financial banks and investment companies, leading manufacturers and retailers, and publicly traded clients, often presenting directly to their boards and executive committees. 

Adam is passionate about making complexity manageable and believes in building client partnerships grounded in respect, clarity, and long-term value. 
 

About MGO 

MGO is a global team of financial service professionals serving the full scope of needs shaping our clients’ business and personal goals. Our team members stand ready to help our clients grow through assurance, tax, consulting outsourcing, and private client services.   

With human care at the core of everything we do, we provide outstanding service experiences, delivered with sophisticated digital tools that work effortlessly for our clients.   

Our global platform serves clients in more than 100 countries and in 40 different languages. From offices throughout the U.S. and India, we engage our clients in real-time when and where they need us the most. We are honored to work alongside innovators in culture-defining industries. Whether serving a pre-revenue startup, industry leader, high-net-worth individual, or trusted government agency, we provide holistic financial guidance to shape long-term success.   

MGO Partners with DebtBook to Enhance Customer Value and Experience

WALNUT CREEK, CALIFORNIA, APRIL 8, 2025 – MGO, a top 50, nationally recognized CPA and consulting firm, is excited to announce a new partnership with DebtBook, a leading provider of cloud-based treasury and accounting software solutions for the government and nonprofit industries.

By integrating MGO services with DebtBook’s cloud-based Debt Management, Cash Management, Lease Management, and Subscription Management solutions, mutual customers will benefit from streamlined processes and improved data management. The partnership will enable a more cohesive experience, allowing clients to focus on strategic initiatives to drive improved financial outcomes for their organizations.

“Partnering with DebtBook is just one more way we aim to drive meaningful outcomes for our clients,” added David Bullock, MGO State and Local Government Industry Leader and Partner. “By combining DebtBook’s software with MGO’s accounting experience, we are excited to deliver optimal service that provides greater value to clients.”

This collaboration aligns with DebtBook’s mission to help organizations transition from operational overload to strategic leadership. By leveraging MGO’s specialized expertise, clients can expect to maximize the value of DebtBook’s best in class products.

“As we continue to evolve our offerings, partnering with MGO is a significant step toward delivering greater value to our customers,” said Tyler Traudt, CEO and Co-Founder of DebtBook. “We’re excited to empower our partners to expand their service offerings, grow their businesses, and ultimately deliver exceptional value to their clients.”

For more information about the partnership and its benefits, please contact partnerships@debtbook.com.

About MGO
MGO is a top 50, nationally recognized CPA and consulting firm. Since 1987, we have provided accounting, assurance, and consulting solutions to help state and local governments better serve their communities. Visit mgocpa.com to learn more.

About DebtBook
DebtBook offers modern treasury and accounting software designed to help state and local government, higher education, healthcare, and others go from operational overload to strategic leadership.

Our Debt and Cash Management solutions empower strategic treasury and improve financial outcomes by automating operational work and allowing teams to more easily analyze their data and extract valuable insights. Our Lease and Subscription Management solutions give accounting teams hours back to their day by automating GASB 87, ASC 842, and GASB 96 compliance workflows. Visit debtbook.com to see why more than 2,100 organizations nationwide work with DebtBook.