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I started my business last year. I know my beginning inventory for the year was 0, then I purchased items. If I sold any of them are they still included in EOY inventory?

 
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1 Reply
Vanessa A
Employee Tax Expert

I started my business last year. I know my beginning inventory for the year was 0, then I purchased items. If I sold any of them are they still included in EOY inventory?

No.  If you sold items, they are subtracted from your end of year inventory. 

If you are a small business, you can choose not to keep an inventory and instead list your purchases as supplies and your sales as sales.  

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