Cost of goods sold

Tax task can be overwhelming, AB2884. I'll do my best to make things clear with the tax deductible under the income tax table, specifically Cost of Good Sold in QuickBooks Online.

I understand that Cost of Good Sold manages the profitability of individual products or services in the context of the company's overall financial performance. And yes, COGS is part of the tax deductible items required by IRS. However, QuickBooks doesn't support cost of goods sold deduction estimates as of the moment.

Since this is required in your business, you need to process and calculate your COGS with other platforms that supports this functions. You can consider using the Turbo Tax where you can report your company costs.

Furthermore, QuickBooks Online only supports those deductible expenses that are necessary for conducting business. If you want to the list of common expenses that are ordinary and necessary, visit this page for your guide: Complete List of Self-Employed Expenses and Tax Deductions.

Additionally, there are some things you need to know about handling you income taxes. Refer to this page for more information: Get ready to file taxes on self-employed income in QuickBooks Online and QuickBooks Solopreneur.

Notify us if there anything you need to clarify about your income taxes in QuickBooks Online. We are still willing to provide additional details regarding this topic. Keep your self safe.