MinhT1
Expert Alumni

Business & farm

If you are on a cash basis, you do not deduct a bad check as a business expense. As the bad check was not paid, it is not included in your income and you cannot deduct it as an expense. In fact it is already deducted from your income by not being paid.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"