So I performed a year end inventory on the yarn, rope, pins, shipping supplies, and whatnot. This gets subtracted from the starting inventory to give a cost of the items sold. This is an expense. If I purchase any inventory item it is an asset untilit is used then its an expense. I started the taxes but the IRS doesn’t have all the forms ready so I can’t file until at the earliest January 28th when the forms are supposed to be ready. Ummm, why can’t the IRS have the forms ready by the first of the year? Then I say on Facebook today that the IRS has postponed tax season to start on February 12th but taxes are still due on April 15th. Ummm, it’s okay for you to be late but not okay for the rest of us to be late?
Anyhow, I’ll get the K-1’s out as soon as I can file.