[PDF] 2022 Instructions for Schedule C

How do I fill out a Schedule C?

You fill out Schedule C at tax time and attach it to or file it electronically with Form 1040. Schedule C is typically for people who operate sole proprietorships or single-member LLCs. A Schedule C is not the same as a 1099 form, though you may need IRS Form 1099 (a 1099-NEC or 1099-K in particular) in order to fill out a Schedule C.

What information do you need to include on a Schedule C?

The Schedule C form consists of three sections. The first sectionrequires information about the business’s proprietor (name, social security number) and the nature of the business (product or service, name, and address of the business, accounting method).

What is the purpose of Schedule C?

A Schedule C form is used to report profit or loss from your sole proprietorship. Your business is considered such if you are engaging in it with the intention of making a profit and you conduct business on a continual and regular basis. The IRS does not require Schedule C if you’re pursuing a hobby or a not-for-profit activity.

Do I need to file a Schedule C form?

You have to file a Schedule C if the income you receive from all sources totals $400.00 or more. Can I file a Schedule C with no income? No, if your sole proprietorship business has no profit or loss during a full year, it's not necessary to file a Schedule C form.