Am I allowed to declare USPS shipping expenses on my tax returns?
Amazon awards sellers a shipping credit $3.99 on vinyl records. Does this prohibit me from claiming USPS expenses on my tax returns? If you know for certain, please let me know if there is anywhere I can find that information on the Amazon website,
16 replies
Seller_nRFmxiQg4EGrw
The $3.99 that is collected from the customer and passed on to you counts as part of your income.
The actual amount that you pay for postage is your deductible expense.
Seller_rGcQW1yb6ZWbC
You can not only claim the postage, but also the cost of your envelopes/boxes, tape, paper for packing lists and shipping labels.
Did you keep any records for your expenses?
Seller_YBfUTeoG971hG
Yes, the difference between what the buyer has paid for shipping and the price you have paid for shipping plus the "commission" Amazon charges on what the buyer has paid (which I think is 15%).
Seller_HRcJa1gdGHeov
It is a direct business expense and therefore deductible. Amazon is not the place to look for this, go to the IRS website or if you have an accountant they will know.
Seller_SLur4sIJxIQ1s
All these can be added as expense. You can get these from your disbursement reports.
Seller_24FzucbyGtgZS
Don't forget the shipping "tax" Amazon charges you which negates any savings they allegedly provide.
You account is the best person to ask this and any other related tax questions to.
Seller_LnhjU22iSbmbB
Unless they otherwise say so noone here is a tax expert. If you do not know what is and is not a business expense you should hire a tax professional or CPA for you or your business. As if you don't know the answer to this question you clearly are not versed in all the things that are or are not deductable or on you tax filings.
Seller_FwpA1naSVnywt
All legit costs are fair game. But you clearly need to talk to your tax preparer. They know.
Seller_b9MTK4QOrYHu2
can claim gas to drive, amazon fees, the clothes you wear, if you are smart claim yourself as empolyee.
Seller_52pUzzgnsLDGs
Oh, my gosh, OF COURSE you claim what you spend on postage, as well as the cost of the box or envelope, packing material, paper you print the order on, cost of a roll of labels, and mileage to the post office every day AS LONG as you have that mileage recorded. If we couldn't deduct cost of doing business no one could be in business. I'm really surprised someone would wait until five days before taxes are due to ask this question. Clearly your records will not be up to date. Sure hope you do better in 2023. Just a note but you also have to deduct sales taxes that Amazon pays for you to the various states because they tell the government it is part of your income even though the only time you saw any of it was when it was printed on the order. Total ripoff because it's not one to one ... just keep good records from now on. Sure hope you only had one or two orders last year.
