Can you deduct Amazon purchases if your business made zero sales?

Yes — possibly. You can generally deduct Amazon purchases if they were ordinary and necessary business expenses, even in a year when your business made zero sales, as long as the business is genuinely operating and the purchases are properly tied to that business. Zero sales does not by itself prevent a deduction; it may simply mean you have a business loss.

A few important distinctions:

• If the business is already open and operating, normal business expenses are usually deductible even without revenue.
• If the business has not started operations yet, those purchases may be start-up costs. Start-up costs are generally subject to special IRS rules, and qualifying costs may be deductible or amortized when the business begins operating.
• If the activity is really a hobby or lacks a profit motive, deductions can be limited or denied.

For documentation, keep records that show what was bought, when it was bought, how much it cost, and how it relates to the business. Amazon order details, itemized receipts, invoices, and payment records are all helpful. A bank or credit card statement showing only “Amazon” usually isn’t enough by itself to explain the business purpose of the purchase.

In short: zero sales does not automatically block a deduction, but the expense has to fit the right tax category and be well documented. Because the rules can be fact-specific, it’s smart to have a CPA or tax professional review your situation before filing.