jmdooley9
New Member

How to categorize print credits in a photography business

Some photography packages purchased by my clients include "print credits" that they can use towards a print order (similar to a gift card)*. When they place an print order, they use these print credits to cover some (or all) of their purchase. Do I categorize these print credits as a business expense? How would I categorize them?
*Ex: Photography Package A is $200 and includes a $25 print credit. Client purchases this package and later makes a $50 purchase when ordering prints, and uses their $25 print credit to cover part of the cost.