Apply a bead of glue along one side of center piece of wood (Image 1). Quickly spread glue with a fingertip then lay it flat and butt against right-side piece (Image 2). Apply glue to right side of left piece, spread with fingertip and butt against left side of center piece (Image 3). Make sure edges are lined up.
By deducting the value-of-inventory figure, you reduce your taxable income by as much as 88 percent (assuming a 12 percent average markup for inventory). You only pay taxes on your profits. Keeping track of your inventory costs reduces your tax bill by helping you arrive at a profit figure.
13. Is self-assessed use tax at cost or price? Response: The basis of use tax is the purchase price of a taxable item, and the tax must be reported in the period in which the taxable item is first stores, used, or otherwise consumed in Texas. See Rule 3.346(b)(1)(B). 14. Is warranty activity taxed at cost or price?