Taxes Checklist

We’ve prepared a checklist for you if you plan to use InventoryLab's reports for your schedule C.

Note: The 1099-K that is issued every year will not match your Profit & Loss report in Stratify, or your Payment Reports in Seller Central.  This is because Amazon uses Gross Sales figures as opposed to Payments figures in the 1099-K. For details, please see- How can I Compare InventoryLab to my 1099-K?

1. Get your inventory value by going to the Reports>Inventory Valuation.

You are not required to export this on the last day of the year, but you will need to change the date in the upper right-hand corner to 12/31 if you run it on a different date. Change the Status in the top right-hand corner to All and click View for the 12/31 date.

These two articles can help if you were not a subscriber before the end of the year, in order to manually calculate your Inventory Valuation totals: 

• Inventory Valuation: I wasn't a subscriber as of the end of last year so I don't have my Inventory Valuation!
• Inventory Valuation: I didn't add all of my buy costs before December 31st!

2. Before reviewing or exporting your Profit & Loss report, make sure that MFN returns and removals/disposals for items you have had removed from Amazon have been marked as either Sellable or Defective on the Accounting>Disposition Management page.

Keep in mind that removal orders during peak times can take up to 30 days to process by Amazon. The below information on removals is from Seller Central: 

"Typically, removal orders are processed and leave the FC within 14 business days. Please allow an additional two weeks for the carrier to deliver after the shipment has left the FC. If there are problems with delivery, the carrier will attempt to contact you to resolve the problem. However, during the holiday season and peak removal periods, processing may take 30 business days or more. This process cannot be expedited. The FCs process each kind of removal in the order that they are created. We cannot expedite or prioritize any removal over the others. Large scale events like natural disasters and pandemics could also cause the removals process to take longer than expected."

Note: If you are running reports for refunds dated prior to July 1st, 2019, you'll also want to make sure that you have your Refunds marked Sellable or Defective accordingly. You can find your dispositions in Seller Central by going to Reports>Fulfillment>Customer Concessions>Returns.

3. Check and address any inventory alerts on the Inventory>FBA and Merchant pages and make sure that a cost/unit has been entered for all your inventory items.

4. Make sure all of your completed sales transactions on the Accounting>FBA & Merchant Sales pages are Reconciled for the entire year.

If any of your completed sales transactions for the year are showing Estimated, or you are missing any Inbound Shipping fees, storage fees, subscription fees, etc., take the steps in our help article to request historical reports that will sync the rest of your data- How do I get data from before I signed up for InventoryLab?