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Free AI Tool · Tax-Ready COGS

Sloppy Ending Inventory Is the Number One Reason Amazon Sellers Overpay Tax.

Your CPA asks for ending inventory, you pull a live snapshot from March, and the whole return goes wrong. Paste your cost and inventory records. Get the documentation checklist, the reconciliation math, and the gaps quietly inflating your bill.

Amazon COGS Tax Checker

Documentation checklist · reconciliation math · write-down flags · CPA-ready

3 free runs per day. Your records are processed once and never shared.
Building your checklist

Why the wrong inventory number costs you real money

Taxable income runs on one figure most sellers get wrong. Ending inventory is supposed to come from the Inventory Valuation Report dated January 1, but the seller pulls a live Manage Inventory snapshot months later instead. That snapshot updates continuously, so it never reflects what was actually on hand at year end, and the whole return tilts off the true number. A clean pack ties five sources together so the ending figure is defensible.

Two deductions get left on the table almost every year. Freight belongs in the cost basis, not expensed on its own, and getting that wrong overstates cost of goods in one year and understates it the next. Aged, damaged, and unfulfillable units can be written down to what they will actually fetch, which is a real deduction sellers skip because nobody flagged it. This tool checks whether each source is present, does the reconciliation where the numbers allow, and names the gaps so your accountant can claim what you are owed.

How it works

1. Paste your records

Landed costs, units sold, inventory values, freight, and any aged or damaged units. Add the tax year.

2. Checklist and reconciliation

Each source marked present, partial, or missing, then the COGS math tied out where the numbers allow.

3. The gaps that cost you

Skipped write-downs, expensed freight, a live snapshot instead of the January 1 report, mixed currencies.

The five tabs of a clean COGS pack

Tab
What it produces
Inventory valuation summary
Ending units times landed cost, from the January 1 report
COGS by SKU
Units sold times weighted-average cost per SKU
Write-down candidates
Aged, damaged, unfulfillable units written to resale value
Freight allocation
Freight added to cost basis per unit, not expensed alone
Reconciliation
Beginning plus purchases minus COGS and write-downs ties to tab one

Who gets the most out of this

Sellers handing a CPA their books after year end
Anyone switching accountants who needs a clean historical schedule
Brands doing quarterly estimates that need COGS dialed in
Sellers prepping clean numbers before a sale or acquisition

Questions sellers ask us

Your records are sent to our server, processed once by the AI to generate the checklist, and not shared with anyone. We keep your email and a short usage summary so we can send you the results. Your figures are not resold, published, or used to train anything. Paste summary numbers, not bank logins or account credentials.

No. This tool prepares documentation and flags common gaps; it is not tax advice and it does not file anything. It works only from the figures you paste, so a reconciliation that is missing a source gets flagged as unconfirmed rather than guessed. Your CPA reviews and signs off on every number before it goes on a return.

Per SKU where you can: landed cost, units sold, beginning and ending inventory units and value, freight invoices, and any aged, damaged, or unfulfillable units for write-downs. Put the tax year in the small box. More sources filled in means a tighter reconciliation, and the tool names any report you still need to pull.

The number that decides your taxable income is ending inventory, and it is the one most sellers get wrong by pulling a live snapshot instead of the January 1 valuation report. Capitalizing freight into cost basis and claiming write-downs on aged or damaged units are two more deductions sellers routinely miss. The tool flags each of these so your CPA can apply them.

You tightened the tax number. Now tighten the number that funds it.

Clean COGS protects the profit you already made. Growing that profit starts on the product page, with the visitors who click, look, and leave without buying. Our free Profit Audit puts a dollar figure on that leak per thousand visitors and hands you the fixes.

Run My Free Profit Audit → Takes about 2 minutes. You get the exact fixes, not a sales pitch.

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