tax. If I, a small business owner, as a company, received invoice from another party for services they provided, and in lieu of payment for that invoice I pay their advertising expenses to a third party, do I deduct those expenses on company' s tax return?
Yes. You "paid" the invoice just not in the traditional manner. I would get a receipt or acknowledgment from the company to whom you owed money for them to recognize in writing, your obligation is satisfied.
Yes. The money paid on behalf of the service provider is deductible as if it were paid to the service provider directly.
I hope this helps!
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Yes. When you pay another company's expense, that is deductible by you as payment to the party that owes it in the first place.
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