Chargebacks Tax Deductible?

[MGBAgency]

Talk to an accountant.
Because the answer is it depends.

Does anyone know if chargeback are tax deductible as a business expense?

 

[Newby]

Every accountant I've ever spoken with says ours is a cash in/cash out business. You just pay taxes on your deposits minus your expenses. 1099s don't really matter according to them.

But don't act based on this. I'm not advising you. Everyone in this biz needs to consult with their own accountant.

 

[AboutThatLife]

Looks like John Dugger came out to play.

Unfortunately your wrong on this one.

If you write a deal in December and get advanced before January 1st, it will show up on your 1099 for the current year.

If they charge back the following year you'd have to claim that loss at another time.

The fix for that would be to go as earned for a company that would 1099 agents on a loan (advance). Which I disagree with since its technically not income.

Now I know you will likely revert to name calling and libel to prove your point. You're very predictable.

You should be filing taxes every quarter. All this next year stuff is irrelevant.

 

[Abbie Beadles]

Talking to an accountant is the only best possible way to clear away your doubts. You only need to find the best one. My business friend was facing the same problem and he ended up consulting with the accountant NJ professionals to solve his taxes problems!