Where do I list MATERIALS used for my business?? I am a Handyman so when I received a 1099 Misc, $13k was materials which was the cost. Where do i enter this expense?

[jamestrementozzi]

Where do I list MATERIALS used for my business?? I am a Handyman so when I received $49k from a 1099 Misc, $13k was materials which was the cost. Where do i enter this expense?

[VolvoGirl · Accepted solution]

Wait a minute.  Did you get a W2 or a 1099Misc?  If you got a W2 you are an employee and don't fill out a schedule C for  business.  And that's a whole other problem.

If you meant you got a 1099Misc, then if you don't track inventory or cost of goods sold you can put materials under Supplies.

Go to Business tab- then Continue
Choose Jump to Full List -or  I'll choose what I work on

Then…..
Business Income and Expenses - Click the Start or Update button

Then click EDIT by your business name and the next screen should be a list of  topics,
Business Profile, Income, Inventory/Cost of Goods Sold, Expenses, Assets, and Final Details last.
 
Under Business Expenses, Click Start or Update by Other common business expenses
Supplies is about the 14th item down.

[VolvoGirl]

Oh, and I should have also told you this, but you probably figured this out yourself,
For self employment income on a schedule C you enter the total gross income you received (including the product, parts or reimbursements) and then enter all your expenses.  Product and parts would probably be entered as Supplies.  Or you can use line 27a Other Expenses. Then only the Net Profit (or Loss) on Schedule C goes to your 1040 and gets taxed.

[jamestrementozzi]

That supplies list states : For supplies under $400....I purchased certain materials greater than $400

[VolvoGirl]

You could also use line 27a Other Misc Expenses.  You could put down 1 total and call it  Reimburse Materials