#rewards
Manage rewards programs and loyalty point accounting
Miles earned by flying or card spending are tax-free rebates under IRS Announcement 2002-18; bank-account bonuses and cash conversions are taxable income.
Amazon's Prime Business Card and Amazon Business Card, issued by U.S. Bank on Mastercard, launched May 13, 2026 with 5% or 3% back on Amazon purchases up to a combined $150,000 annual cap. This guide shows small businesses how to reconcile the card migration, book reward credits as cost reductions, and track 0% APR installment purchases as liabilities.
Business credit card welcome offers now reach $2,000 cash or 200,000 points, with minimum spends of $3,000–$30,000 in three months. How to match a bonus to your real quarterly spend, understand the personal guarantee, and avoid the commingling mistakes that turn a bonus into an audit risk.
A Merchant Category Code (MCC) is a four-digit classification assigned to merchants by payment processors. It decides whether a business credit card's bonus categories trigger, shapes a merchant's interchange fees, and appears in Box 2 of IRS Form 1099-K — which returns to a $20,000 and 200-transaction threshold for tax years 2025 and beyond.
Loyalty points are deferred revenue, not immediate income. Learn how to book breakage and liabilities properly under ASC 606, using Starbucks' $200.4M example.
Business credit card cash back is a rebate, not taxable income — unless it's a no-spend sign-up or referral bonus. This guide shows the two ways to book rewards (contra-expense vs. other income), with journal entries, the earned-vs-redeemed timing choice, and the IRS logic behind each.
Amazon switched business credit cards to U.S. Bank, ending Amex on August 14, 2026. Learn the $150,000 rewards cap, new 5% cash back, and how to activate your
For most businesses, credit card cash back and points are non-taxable rebates, not income—but a bonus with no spending requirement is taxable. Spending rewards also reduce your deductible expenses, so record them as a contra-expense to keep deductions accurate.
Unlock the potential of your small business with our curated list of the 16 best credit cards for 2025, designed to enhance cash flow and maximize rewards on everyday expenses.
