@yrekamtg wrote:
I run a re-sale business and one of the brands I wholesale through is offering an end of year discount. Should I take advantage of the discount and acquire more inventory from them? Or should I hang onto the money and wait to purchase after the new year?
There are consequences beyond income tax considerations (i.e., general business consequences), but the purchase of more inventory will increase your cost of goods sold (COGS) and, as a result, decrease your profit for the current tax year (2019).
A lower profit might be a good thing, generally, but there could be unintended results. For example, if you were in a position to take a Section 179 deduction, you need sufficient taxable income to do so.
There could be a variety of additional considerations as well, so you should run through the figures (with and without) several times using different scenarios.
