Ok ... we use square in our business and the amount sent to the bank account is less the fees so you have no reason to deduct fees that were never included in the income to start with.
So say you take in $100 and the fee is $5 and the square puts only $95 in the bank ... so you will only report the $95 income and no fee expenses. OR ( if this is better for you or more inline with your bookkeeping methods) you can report $100 in income and $5 in fee expenses. Either method is allowed but you must be consistent.