Groceries Schedule C category?

[Miss A]

Ok guys, this may be a stupid question but I think I've been doing it wrong.

I use QuickBooks Self Employeed, and I am wondering if I would put groceries into the "Materials and Supplies" category on my Schedule C deductions list? I have been putting them in the "Meals and Entertainment" category, but after looking at it today I got to thinking that that category is used for business lunches and the like, correct?

I looked it up on the Intuit website, and it said to put groceries in the supplies category. I just want to make sure I do it right, and go back and amend the past transactions if I don't have them categorized right.

[TomCopeland]

groceries

Ok guys, this may be a stupid question but I think I've been doing it wrong.

I use QuickBooks Self Employeed, and I am wondering if I would put groceries into the "Materials and Supplies" category on my Schedule C deductions list? I have been putting them in the "Meals and Entertainment" category, but after looking at it today I got to thinking that that category is used for business lunches and the like, correct?

I looked it up on the Intuit website, and it said to put groceries in the supplies category. I just want to make sure I do it right, and go back and amend the past transactions if I don't have them categorized right.

As a general rule, it doesn't matter what line on Schedule C you put your business expenses. An exception would be "Meals and Entertainment" because this is meant for business meals with parents and conferences. Also, there is a rule that says you can only deduct 50% of your business meals, so don't put food for children here. You can put them under "Supplies" or you can list them as "Food" under Other Expenses.

[Miss A]

Thanks Tom! I went back and amended past entries and my estimated quarterly tax went down significantly.