[GNC] Change account type by editing XML?

Adrien Monteleone adrien.monteleone at lusfiber.net
Sat May 2 13:12:59 EDT 2020


I’ve read the location of COGS to be a personal preference. (may even be a legal one in some cases)

I can’t see it is anything but an expense, though there is certainly disagreement on the subject.

My experience with using it in a P&L involved Restaurant and Retail. In both cases, it appeared *after* the Revenue section but before the general Expenses section. (as its own section)

Likely the reason for the placement for tax purposes is a better advantage as a reduction of Gross Revenue rather than as deductible expense. (again, might even be a legal requirement)

Regards,
Adrien

> On May 2, 2020 w18d123, at 10:58 AM, Stephen M. Butler <kg7je at arrl.net> wrote:
> 
> 
> For a small business I was carrying Cost-of-Goods-Sold (COGS) as an
> expense item.  When my CPA filed the taxes, I noticed that he placed it
> as a deduction to revenue.  So, after a chat with the in-house
> accountant, I moved COGS to be under the Income parent.
> 
> Thankfully, the internal representation for amounts still worked
> correctly and the COGS account now showed as a reduction to Income
> without me having to go change the sign on each transaction.




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