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You don't need to enter the 1099-MISC per-se. But you will keep it for your records. Don't know why they bothered to send you a 1099-MISC with zeros or nothing in all the boxes, since that form is used for reporting what "they" paid "you".
You have probably (I would expect) already accounted for everything in the COGS section of your SCH C. I'll explain that here, in case you find it helpful. COGS is used for reporting inventory, which you obviously have to deal with.
BOY (Beginning of Year) Inventory - This is what *you* paid for the inventory you have in your physical possession on Jan 1 of the tax year. It does not matter what year you purchased it. If the tax year being filed is your first year in business, then this value will always be ZERO.
EOY (End of Year) Inventory - This is what "you" paid for the inventory you have in your physical possession on Dec 31 of the tax year. It does not matter in what year you purchased it.
COGS (Cost of Goods Sold) - This is what "you" paid for the inventory you actually sold in the tax year.
Note that you can not deduct "your" cost, until the tax year you actually sell it. Here's an example of how this works.
BOY Inventory - $2000
COGS - $5000
EOY Inventory - $7000
The above indicates you started the year with $2000 of inventory in your possession. Throughout the year you purchased an additional $10,000 of inventory bringing the total for the year to $12,000. Then during that same year you sold $5000 of the inventory leaving you an EOY balance of $7000. You can only deduct the cost of the $5000 of inventory you actually sold during the year, and the program takes care of it just fine.
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