How to Treat Self-employed Reimbursements for Expenses?

[jody_ken]

I just started consulting as a self-employed sole proprietorship.  For mileage, parking and other expenses reimbursed by my clients, do I treat these as income and then write-off as an expense?  Or do I not include the reimbursements and associated expenses at all?

Thank you, Ken

[AlexanderS08 · Accepted solution]

Either option is acceptable, but it may be easiest to not consider the reimbursements income and not deduct them.  The most important thing to remember is the double-benefit rule. You can't exclude from income AND take a deduction.

[jody_ken]

Thanks Alexander!  Appreciate you replying so quickly.  Nice!  Sincerely, Ken