MY business is Services - OVERSEAS Freight & TRANSPORT

[Captain Bawa]

HI, My Business is FREIGHT FORWARDING- Essentially we source Freight ( SEA & AIR) along with Land transport from different vendors and then sell this same service to our client with a brokerage / service fee margin.

Say we BUY $ 1000 and sell $ 1100 .

Under what category do i book my purchase / expenses in TURBO TAX Home & Biz 

[ToddL99]

Enter this as an Other Miscellaneous Expense in the Business Income and Expenses interview of TurboTax Self-Employed (or Home and Business).

See the attached screenshots for a sample entry:

[Captain Bawa]

HI , Perhaps i was not able to explain my self clearly.

My business is shipping & logistics.... so my PRODUCT is the Freight & Transport cost.

It has to be something better than MISCL expense. I buy freight worth 80,000 USD per month  which means annually  i buy close to a MILLION DOLLAR worth freight .

If i use your suggestion, i will be unable to match books of services PURCHASED and SOLD

pls check and revert

[ToddL99]

I understood. If you want to match books of services PURCHASED and SOLD, then you will need an accounting program (e.g. QuickBooks). 

TurboTax is designed to report income and expenses, by category, for tax reporting purposes. It is not designed to track the profitability of individual transactions, nor is it formatted to meet every possible description of income and expense for every possible industry.

Entering the cost of purchased transportation services as an Other Miscellaneous Expense (with a unique description) meets tax reporting requirements.

[Captain Bawa]

Dear Tod

I understand your point.. I am not looking for ledgers but surely GROSS INCOME - GROSS EXPENSES have to be reported .

So my Expenses are DIRECT EXPENSES.. not indirect.

Anyways, i explored a bit and for what is it worth to more of us looking for answers, i could add expenses under payments to independent contractor ( vendors). So I am sorted, Covering my direct expenses under vendors and brokerage payments