26 U.S.C. § 280E : US Code - Section 280E: Expenditures in connection with the illegal sale of drugs

      No deduction or credit shall be allowed for any amount paid or
    incurred during the taxable year in carrying on any trade or
    business if such trade or business (or the activities which
    comprise such trade or business) consists of trafficking in
    controlled substances (within the meaning of schedule I and II of
    the Controlled Substances Act) which is prohibited by Federal law
    or the law of any State in which such trade or business is