Can you deduct freight cost on business taxes?

Answer by  Att4372 (1704)

Freight cost is part of Cost of Goods Sold. You do an inventory calculation on the back of Schedule C and include freight as part of goods purchased for resale.

Answer by  Att4372 (1704)

Freight is added to the cost of goods purchased for sale. It is entered on line 36, page 2 of Schedule C. If shipping is stated separately, you can instead enter it on line 39, Other costs. In either case, freight is part of "Cost of Goods Sold. "

Answer by  mtown934 (733)

Yes, a freight cost can absolutely be deducted as a business cost for your new retail store. It is vital to your business surviving and thriving and therefore can be written off as a business cost for you.

Answer by  BrianSJ (524)

Absolutely. If the freight is part of the cost of items sold, then you add the freight costs that you pay to the cost of goods sold, effectively subtracting it from your sales revenue.

Answer by  Chaneygirl (1755)

Yes, freight costs are a business cost. It is part of the cost of getting your prodcut ready for sale. Just about any cost you incurr in running your business is a business cost.