topic Consignment fees as a business expense? in Business & farm

Consignment fees as a business expense?

Uhurung20251 — Tue, 03 Dec 2024 22:03:47 GMT

I am an author and sell my books at a bookstore. Bookstore takes 45% of my book price as a consignment fee. So if I sell my book for $23, bookstore takes $10.35, I get $12.65. Can I claim the $10.35 as a business expense?

Re: Consignment fees as a business expense?

VolvoGirl — Tue, 03 Dec 2024 22:06:29 GMT

Yes if you claim the full price as income. If you only report the 12.65 as income you can’t deduct the consignment fee.

Re: Consignment fees as a business expense?

Uhurung20251 — Wed, 04 Dec 2024 21:28:34 GMT

This applies to Canada, or just in U.S., or both?

Re: Consignment fees as a business expense?

VolvoGirl — Wed, 04 Dec 2024 21:37:24 GMT

Don’t know anything about Canada. Here is the Canada forum

https://turbotax.community.intuit.ca/tax-help