Open TurboTax

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
Announcements
Your taxes, your way. Get expert help or do it yourself. >> Get started
Close icon
Do you have a TurboTax Online account?

We'll help you get started or pick up where you left off.

cancel
Showing results for 
Search instead for 
Did you mean: 
bbuzzsaww
New Member

Do i enter raw materials in the supply section?

 
1 Best answer

Accepted Solutions
ChelsiE2
New Member

Do i enter raw materials in the supply section?

If you purchase raw materials to make a new product:

  • If you are not reporting Inventory, you can enter raw materials as supplies.

If you purchase a product and resell it in its original form:

  • You'll need to report Beginning Inventory, Purchases and Ending Inventory.  Materials should be reported within the Inventory input.

View solution in original post

2 Replies
ChelsiE2
New Member

Do i enter raw materials in the supply section?

If you purchase raw materials to make a new product:

  • If you are not reporting Inventory, you can enter raw materials as supplies.

If you purchase a product and resell it in its original form:

  • You'll need to report Beginning Inventory, Purchases and Ending Inventory.  Materials should be reported within the Inventory input.
hongcamai
Level 2

Do i enter raw materials in the supply section?

Are raw materials for a finished product a 100% deductible?

For example: A contractor billed his business customers for raw materials plus labor and tax. He received a 1099 for the total cost of the bill together.

In turbo tax, there is a section to report 1099 income. The question is: Raw materials and tax are not his income. Does he subtract them off the total for 1099 income when he report his income or how would you suggest the best way to do that?

 

About Community

Learn about taxes, budgeting, saving, borrowing, reducing debt, investing, and planning for retirement.

3.49m
Members

2.62m
Discussions

Manage cookies
v