I use cash basis accounting for my sole based proprietorship bookkeeping (reseller), i'm still learning all this so please bare with me.
For my inventory purchases, I ordered them in 2021 and received and sold some of them in 2021. I did not actually pay the vendor for my inventory purchases till 2022.
For tax reporting purposes for my schedule C, I wanted to confirm if I report the purchases for Cost of Goods Sold when I file taxes in 2021 or if I report them in 2022, thank you.
