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Level 1
posted Jan 3, 2023 8:26:21 AM

calculating credit card purchases

If I used my business credit card this past year, do I deduct just my reimbursement payments towards the balance, or just list the business purchases I made with card, or list both on my Schedule C?? Thanks!!

0 4 454
4 Replies
Level 15
Jan 3, 2023 8:37:28 AM

Just enter the actual purchases when you bought them.  Those are the expense.  If you paid interest on the credit card you probably can expense that too.  Paying the credit card doesn't go anywhere on your return.  

Level 1
Jan 3, 2023 8:40:17 AM

Perfect!!! Thanks so much for the clarification!!!!

Level 15
Jan 3, 2023 10:09:33 AM

@VolvoGirl @EWConLI 

the reimbursement have to be accounted for.  it would seem op makes the purchase and then gets reimbursed. not sure exactly how this happens. maybe op includes the cost in the invoices so they would be part of sales. then there is no issue. but if by other means op would either not include the purchase as an expense or preferably report the reimbursement as revenue

 

 

 

Level 15
Jan 3, 2023 10:16:38 AM

Oh, I thought he just meant when he paid the credit card bill.