What is Schedule C?

What is Schedule C?

Schedule C of the IRS tax form 1040 is called Profit or Loss from Business. Self employed individuals are required to file Schedule C tax form and pay the self employment tax if the profit from self employment is at least $400.

How to do Schedule C?

Schedule C of the IRS tax form 1040 is a two page tax form which may include expenses that require the taxpayer to attach other tax forms and schedules. Schedule C is divided into the following sections:

• background information
• income and cost of goods sold
• expenses and other expenses
• profit or loss calculation
• information on your vehicle