USA How do you classify book royalties paid to a client on tax form?

[GooseFlats]

Hello all,
I have recently started a small publishing company in the U.S.
My question is; how do I classify royalty payments made to my authors on my taxes?
Any help is greatly appreciated.
Thanks for looking!

 

[The Finance Writer]

Payments you make that are ordinary and necessary for the publishing company are business expenses. The royalties are one of the categories of expense when reporting the publishing company's income.

 

[GooseFlats]

Thank you, The Finance Writer.

That is what I thought, but I figured I better be sure.

Thanks again.