buksoInventory and cost of goods sold
Not tax advice. General bookkeeping information only, checked against the official sources linked below (Canada Revenue Agency, IRS, provincial governments and Justice Laws) on Oct 17, 2026. Rules change; check with your accountant before you file.
Canada
Goods for resale are cost of goods sold, deducted when sold, not when bought. Count your inventory at year end.
Official source: canada.ca
United States
Goods for resale go through cost of goods sold (Schedule C Part III), based on opening and closing inventory.
Official source: irs.gov