PatriciaV
Expert Alumni

After you file

The materials and supplies you use to produce your merchandise can be reported under similar expense lines in TurboTax for self-employment (Schedule C).

 

Note that you aren't required to report inventory (Cost of Goods Sold) if your gross receipts were under $26 million over the last 3 years. Most small business owners prefer to expense materials and supplies as they are purchased to avoid the additional work required to account for inventory.

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