Contractor edition chart category

If the tools are of a material value then they're probably considered assets. However can still expense them under section 179 of the US tax code. In that case, you might want first put them into a Tools asset account and then make an entry in that account to expense them away. You'll want to keep track of which items you do this for. One way to track these cases is by creating an expense account like "Tools - Section 179" and using it when you write down the asset.