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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!
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.
Thank you! How should I categorize the income to offset it?
Totally up to you, but it makes sense to use the same income account that the rest of the job is posting to.
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