Schedule C

Schedule C

Schedule C, Profit or Loss from Business, is a tax form part of the Form 1040 used to report profits or losses from businesses structured as a sole proprietorship or single-owner LLC.

The form helps calculate the total net income for the business and report business expenses and deductions for the past year.

The amounts on Schedule C are used on the business owner’s personal income tax return to calculate their amount of tax liability.

Business owners must use one single Schedule C per sole proprietorship or single-owner LLC, so owners of multiple entities attach and file a separate form for each.

All sole proprietorships and single-owner LLCs file Schedule C with their taxes, regardless of the amount of income earned.

The form also comes in the variation Schedule C-EZ depending on the total amount and nature of business expenses accumulated.

Form Purpose Users
Schedule C Lists business income, lists expenses, and calculates total net income of business Any sole-proprietorship or single-owner LLC
Schedule C-EZ Lists only primary information of business, calculates simple net income of business Businesses with less than $5000 of expenses, no net loss, no employees, and no inventory

The due date for Schedule C is April 15, since the form is filed along with the taxpayer's personal income tax return.

Get Help With Your Tax Return