Accounting word of the week
Since we are two weeks out from the year-end tax calendar, this is perfect time due to the Christmas season to consider your 2016 tax liability. You can do this by what is call “promotion expense.” A promotion expense is the cost of samples or promotional items that are made available to the public at large. Promotional expenses are fully tax deductible. They can include merchandise samples, gifts, and tickets to a show offered as a customer prize.
We encourage our customers to utlize this write-off to help reduce their tax liability.
If you need any accounting needs, please feel free to contact us.
Disclaimer: This blog is for information purposes only and is not intended to provide investing, accounting, tax or legal advice and should not be relied upon.