Quick Tax Question

Hello,

I am in the process of filing my taxes but I have a quick question.

I run an incentive website in which users come to my site to complete offers and then I will send them a reward in the mail when they claim the item they want.

I am not sure what to classify the rewards as part of my expenses.


I know I should be able to get the rewards claimed as an expense, I just do not know what to label them as.

If anyone can help that would be great.

Mike

ummm... product expense. cost of goods sold.

Anyone else able to put in there knowledge? I have been searching Google but I can't seem to find something that fits the description of a reward.

I was reading about gifts but that isn't really want it falls under. Plus I was reading gifts are only able to be written off up to $25 per person and some people have received over $100 in rewards from my site.