Whats examples of the Form 1040 Schedule C Line 38 – Materials and Supplies?
The topic you are asking about is what items get capitalized into inventory. As far as materials and supplies goes, that would include any items you use in the manufacturing process. It is different from things you just buy and resale (those would go on line 26, purchases) I won’t claim to know how to manufacture the stuff you list above, but I’ll take a few guesses of what might go in there… fabric, buttons, zippers, thread, needles, beads, fastners, the “raw” cd or DVD itself…. I wish I had seen this question first and I would have known you were filing Schedule C’s instead of 1120’s. So you can ignore all the 1120 comments I added to my other questions for you. *************************** And as a side note, many best wishes for success in your business endeavors. You seem to have your head on straight in wanting to get your accounting and taxes right. Even though money is tight, continue to search for a good accountant who can help you with this. The more time you spend on this
