Dr_tax
Level 2

Hello sjrcpa,

Do you have any clients whose business is factoring? I've tried searching to find the tax treatment for that but only find articles that discuss the tax treatment for the company SELLING to the factoring company not the factoring company side. In my client's situation there is a nuance which I think might make it fall under a different treatment. I researched it diligently when he became a client and found a reference that suggested these purchases could be treated as investments, but I didn't save that reference. Not like me, but now I'm thinking I should revisit this. Appreciate input. Thanks.  

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