You can deduct your shipping costs regardless of how you claim. It is an expense. I can say with 99.9% certainty that no one here charges EXACTLY what it costs to ship an item. Everyone likes to use nice easy numbers like $1.99, $2.99, etc. Then you have to factor in combined shipping. Because of this, the shipping fee you charge should be income and then you do all of the writeoffs from that. You are being charged fees on your shipping as well. It just makes it so much easier to lump all income together and all fees together. It would take you a year to break it down the other way if you didn't.
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