Schedule C Expenses

Travel, meals and entertainment

Travel, meals and entertainment (line 24) related to your business are deductible. Lodging and transportation expenses connected with overnight travel for business while away from your tax home are entered on line 24a.

Your tax home is generally your main place of business regardless of where you maintain your family home. You can generally deduct 50% of the cost of meals and entertainment (line 24d). Enter the total cost of your meals and entertainment on line 24b. Meals must be directly related to your business, not lavish or extravagant and incurred while you or your employee is present at the meal.

Utilities

Utilities (line 25) directly related to your business can be deducted. These include gas, electricity and telephone.

Wages

Wages (line 26) include total salaries and wages paid to employees as well as  bonuses. You must reduce your tax deductions by any current year credit you claim.

Other expenses

Other expenses (line 27) not listed anywhere else in Part II are listed in Part V on page 2 of Schedule C. The total of these expenses (line 48) is carried to line 27. Some of these expenses may include amortization (including start up costs), dues, subscriptions and messenger services. The amounts for amortization are carried from page 2 of Form 4562 to line 27.