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Frequently Asked Questions

How do I complete schedule C?

To complete Schedule C, you need records of the income your business received and the cost of goods sold. You must list your business expenses; these include things like rent, utilities, insurance, taxes and depreciation.

When to use Schedule C?

Anyone who operates a business as a sole proprietor must fill out Schedule C when filing his or her annual tax return. IRS form Schedule C accompanies the main tax return form, 1040, for taxpayers who must report a profit or loss from their business.

Where to find Schedule C in taxes?

Schedule C - Profit or Loss from Business is part of the individual income tax return IRS Form 1040. It shows the income of a business for the tax year, as well as deductible expenses. The resulting net profit or loss of the business, found on line 31, is then reported (beginning with 2018 taxes) on Schedule 1 (line 12) of Form 1040.


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