Deducting Material Expenses

andygott — Wed, 05 Jun 2019 23:07:42 GMT

I get paid for materials & labor for my jobs. do I enter the gross amount in the income portion or just the cost of labor? Also, do I include material costs in supply expenses?

You'll enter the gross amount (materials + labor) in the...

ThomasM — Wed, 05 Jun 2019 23:07:43 GMT

You'll enter the gross amount (materials + labor) in the income portion, and then you'll take a deduction for the materials. Instead of using "supplies" (which is generally small stuff), click on Other Misc Expenses and write in "Materials" along with the amount. TurboTax will then list that expense as "Materials" on page 2 of your Schedule C.

topic Deducting Material Expenses in Deductions & credits

Deducting Material Expenses

You'll enter the gross amount (materials + labor) in the...