cancel
Showing results for 
Search instead for 
Did you mean: 
Aaronc5150
Level 1

Business equipment reimbursement

Hello.  We recently purchased some equipment as part of a job that we are working on with a contractor, and the contractor cut us a check to reimburse us for the expense.  How should we categorize it in QB online in order to not be taxed on it as income? Thank you!

3 Comments 3
Rainflurry
Level 14

Business equipment reimbursement

@Aaronc5150 

 

It won't be taxable income if the purchase of the equipment was recorded as an expense.  They will offset, leaving $0 net (taxable) income. 

Aaronc5150
Level 1

Business equipment reimbursement

Thank you! How should I categorize the income to offset it?

Rainflurry
Level 14

Business equipment reimbursement

@Aaronc5150 

 

Totally up to you, but it makes sense to use the same income account that the rest of the job is posting to.  

Sign in for expert help
Ask questions, post replies & join our community of QuickBooks users.

Need to get in touch?

Contact us