Schedule C (Form 1040), Profit or Loss From Business (Sole Proprietorship) (2017) Instructions

Check this box if you used the cash method of accounting for this business (report income when received and expenses when paid).

Check this box if you used the accrual method of accounting for this business (report income when earned and expenses when incurred).

Check this box if you used an accounting method other than cash or accrual, and specify the method in the space provided.

Enter the code (from the form instructions) that indicates the accounting method used for the business (e.g., Cash, Accrual, or Other); if you choose Other, enter the specified code shown in the instructions. Fill only if 'Accounting method (F) - Other (specify)' Fill only if Other (specify) is 'Yes'.

Enter the dollar portion of the sum of lines 35 through 39 (the total amount to add).

Enter the cents portion (two-digit fractional dollars) of the sum of lines 35 through 39.

Check this box if you (or your spouse) DID have another vehicle available for personal use during the tax year.

Check this box if you (or your spouse) did NOT have another vehicle available for personal use during the tax year.

Check this box if there was any change in determining quantities, costs, or valuations between opening and closing inventory (attach an explanation).

Check this box if there was no change in determining quantities, costs, or valuations between opening and closing inventory.

Enter the dollar portion of your total cost of goods sold (the result of line 40 minus line 41) to report on line 42.

Enter the cents portion of your total cost of goods sold for line 42 (the two-digit cents amount).

Enter the total cost of labor for this tax year for line 37, excluding any amounts paid to yourself.

Enter the cost of labor amount for the prior year or comparative column for line 37, excluding any amounts paid to yourself.

Enter the month (numeric) when you placed the vehicle in service for business purposes.

Enter the day of the month when you placed the vehicle in service for business purposes.

Enter the four‑digit year when you placed the vehicle in service for business purposes.

Check this box if you do have evidence (documents, records, receipts, logs, etc.) that supports the deduction claimed on line 47a.

Check this box if you do not have any evidence to support the deduction claimed on line 47a.

Check this box if, for line 47a, the evidence supporting your deduction is written (i.e., you have written documentation to support the deduction). Fill only if '47a Yes — Evidence to support your deduction' is 'Yes'.

Check this box if, for line 47a, the evidence supporting your deduction is not written (i.e., you do not have written documentation to support the deduction). Fill only if '47a Yes — Evidence to support your deduction' is 'Yes'.

Enter the inventory value at the beginning of the year for column 1 (the amount of merchandise or goods on hand at the start of the year).

Enter the inventory value at the beginning of the year for column 2 (the amount of merchandise or goods on hand at the start of the year).

Enter the dollar value of your business's inventory at the end of the tax year for the first column shown on the form.

Enter the dollar value of your business's inventory at the end of the tax year for the second column shown on the form.

Check this box if the gross receipts or sales on line 1 were also reported to you on Form W-2 and the 'Statutory employee' box on that Form W-2 was checked.

Enter the total gross receipts or sales for the business for the tax year in whole dollars (exclude returns and allowances).

Enter the cents portion of the gross receipts or sales amount (two digits); if not applicable, enter 00.

Enter the dollar amount of commissions and fees for column 1 that applies to this business on Schedule C.

Enter the dollar amount of commissions and fees for column 2 that applies to this business on Schedule C.

Enter the total dollar amount paid for contract (independent) labor for this business during the tax year (include dollars and cents).

If a separate or supplemental amount must be reported for contract labor (for example a subdivision of the total or an amount allocated to another column), enter that dollar amount here; otherwise leave blank.

Enter the dollar amount of the depletion deduction to report in the first column for line 12 (the depletion amount attributable to this business).

Enter the dollar amount of the depletion deduction to report in the second column for line 12 (the additional or alternate depletion amount for this business).

Enter the depreciation and section 179 expense amount to report on Schedule C line 13 for the first (left) column.

Enter the depreciation and section 179 expense amount to report on Schedule C line 13 for the second (right) column.

Enter the dollar amount of employee benefit program expenses (other than those on line 19) attributable to this business for the tax year; include employer-paid benefits such as group health, life insurance, retirement contributions, and similar costs.

Enter the total dollar amount of employee benefit program expenses to be reported on Schedule C line 14 for this tax year.

Enter the deductible dollar amount of insurance (other than health) for this business to report on Schedule C line 15 (primary column).

Enter the second dollar amount or additional insurance amount related to line 15 (other column) for this business, if a separate breakdown or supplementary entry is required.

Enter the dollar amount of mortgage interest paid to banks or other lenders to report on Schedule C line 16a.

Enter any additional dollar amount of mortgage interest related to Schedule C line 16a (supplemental or secondary amount to be added to the primary amount).

Enter the total mortgage interest paid to banks or similar lenders for this business during the tax year.

Enter any other interest expense for the business during the tax year that is not reported on line 16a.

Enter the dollar amount of legal and professional services expenses to report in the primary column for Line 17.

Enter the dollar amount of legal and professional services expenses to report in the secondary column for Line 17 (the alternative/second column on the form).

Enter the total office expense amount for this business for the tax year.

Enter the cents portion of the office expense amount (two-digit cents value).

Enter the dollar amount of pension and profit‑sharing plan contributions or expense for this business to report on Schedule C line 19 (first column).

Enter the dollar amount of pension and profit‑sharing plan contributions or expense for this business to report on Schedule C line 19 (second column).

Enter the numeric amount of returns and allowances for Line 2 in the primary amount box.

Enter the numeric amount of returns and allowances for Line 2 in the secondary/small adjacent amount box, if applicable.

Enter the rent or lease expense amount for vehicles, machinery, and equipment that applies to column 1 (the first expense column) for this business.

Enter the rent or lease expense amount for vehicles, machinery, and equipment that applies to column 2 (the second expense column) for this business.

Enter any short classification, code, or identifier (one or two characters) you use to categorize this Other business property rent or lease expense for line 20b.

Enter the total dollar amount of rent or lease expense for other business property for line 20b for this tax year.

Enter the repairs and maintenance amount to report on Schedule C Line 21 for this business (primary amount/column).

Enter the secondary or additional repairs and maintenance amount or allocation to report on Schedule C Line 21 as required by the form.

Enter the dollar amount of supplies used in the business (supplies not included in Part III) for the primary column on line 22.

Enter the dollar amount for the secondary column on line 22 for supplies not included in Part III, leaving this field blank if no second-column amount applies.

Enter the amount of taxes and licenses paid related to this business to report on line 23 for the first column.

Enter the amount of taxes and licenses paid related to this business to report on line 23 for the second column.

Enter the total travel expenses for the business for the tax year (the amount to report on Schedule C line 24a).

Enter the portion of meals and entertainment expenses that are deductible for the business for the tax year (the amount to report on Schedule C line 24b).

Enter the deductible meals and entertainment expense amount for column 1 (the primary business column) as a numeric value.

Enter the deductible meals and entertainment expense amount for column 2 (the other business column) as a numeric value.

Enter the total utilities expense for the business for the tax year as a dollar amount.

Enter the additional utilities amount required by the form’s second column (for allocation, carryover, or other column-specific value) as a dollar amount.

Enter the total wages paid by the business for the tax year for line 26, excluding any employment tax credits.

Enter the second-column amount for line 26 (additional or alternate wages amount corresponding to this line) excluding any employment tax credits.

Enter the total other expenses amount carried from line 48 to line 27a for column 1.

Enter the total other expenses amount carried from line 48 to line 27a for column 2.

Enter the dollar amount for the first reserved field on line 27b.

Enter the dollar amount for the second reserved field on line 27b.

Enter the total dollar amount of expenses from lines 8 through 27a before subtracting expenses for business use of your home.

Enter the cents portion of the total expenses amount for line 28.

Enter the tentative profit or (loss) amount for line 29 in the left amount field.

Enter the tentative profit or (loss) amount for line 29 in the right amount field.

Enter the dollar portion of the result of subtracting the value entered on Line 2 from the value entered on Line 1 for this business return.

Enter the cents portion (two-digit cents) of the result of subtracting Line 2 from Line 1.

Enter the total deductible expenses for the business use of your home to report on Schedule C, line 30.

Enter the cents portion (two digits) of the total expenses for the business use of your home to complete line 30.

Enter the dollar portion of your net profit (positive) or net loss (negative) from this business as calculated on line 31.

Enter the cents portion of your net profit or net loss amount for line 31 (two-digit cents value).

Check this box if your entire investment in this activity is at risk for loss (i.e., none of your investment is protected from loss). Fill only if 'Line 31 Net profit or (loss) - Dollars' Fill only if Net profit or (loss) is a loss.

Check this box if only part of your investment in this activity is at risk (some of your investment is protected); if you check this box you must attach Form 6198. Fill only if 'Line 31 Net profit or (loss) - Dollars' Fill only if Net profit or (loss) is a loss.

Enter the total cost of goods sold for this business for the tax year as a numeric amount (dollars).

Enter the cents portion of the total cost of goods sold amount for this tax year.

Enter the gross profit amount for Line 5 (subtract line 4 from line 3) as the primary amount for this business.

Enter the cents portion of the Line 5 gross profit amount.

Enter the other income amount to report on Schedule C line 6 for the first column (this business).

Enter the other income amount to report on Schedule C line 6 for the second column (if used for a separate business or column).

Enter the total gross income (the sum of lines 5 and 6) for the tax year in this first column.

Enter the total gross income (the sum of lines 5 and 6) for the tax year in this second column.

Enter the amount of advertising expenses for this business to report on the second column for Line 8.

Enter the amount of advertising expenses for this business to report on the third column for Line 8.

Enter the dollar amount of car and truck expenses for this business to report in the first (left) amount column on Schedule C line 9.

Enter the dollar amount of car and truck expenses for this business to report in the second (right) amount column on Schedule C line 9.

Enter the total cost of materials and supplies used in your business for the tax year.

Enter the cents portion of the total cost of materials and supplies.

Check this box when you used the cost method to value your closing inventory on Line 33.

Check this box when you used the lower of cost or market method to value your closing inventory on Line 33.

Check this box when you used a valuation method for closing inventory other than cost or lower of cost or market and will attach an explanation.

Enter the total number of miles you drove for business use of the vehicle during the tax year.

Enter the total number of miles you drove commuting between your home and regular work location during the tax year.

Enter the total number of miles driven for any other purposes not reported as business or commuting during the tax year.

Enter the total amount of other business costs for Line 39 for the current tax year (expenses not reported on other lines).

Enter the total amount of other business costs for Line 39 for the prior tax year (expenses not reported on other lines).

Enter a short description naming the other business expense for this row (e.g., 'office supplies', 'software subscription').

Enter the amount for this other business expense on this row.

Enter any optional code, reference number, or brief note used to categorize or identify this expense.

Enter a short description of the business expense for this row (what the expense was for).

If applicable, enter the IRS expense code or internal two‑digit code associated with this expense; leave blank if none.

Enter the dollar amount of the expense for this row.

Enter a short, clear description of the business expense for this row (e.g., "Office supplies", "Advertising").

Enter the dollar amount for this expense on this row.

Enter any short code, category label, or brief note used to classify this expense (if required); otherwise leave blank.

Enter a brief description of the business expense for Row 4 (what the expense was for).

Enter the monetary amount for this expense on Row 4.

Enter any short category label, code, or supplemental identifier associated with this expense on Row 4.

Enter a concise description of the business expense for row 5 (what the purchase or expense was for).

Enter the dollar amount of the expense for row 5 as a numeric value (include cents if needed).

If applicable, enter the associated reference number or expense code for this entry (leave blank if none).

Enter a short, clear description of the business expense for row 6 (what the expense was for).

Enter the dollar amount of the expense for row 6 as a numeric value (use decimals for cents and include thousands separators if needed).

If applicable, enter the short code, reference number, or internal classification associated with this expense on row 6.

Enter a short description of the business expense for this row (what the expense was for).

Enter the dollar amount of the expense for this row.

Enter an optional code, reference, or short note associated with this expense (if applicable).

Enter a short, clear description of the other business expense for row 8 (what the expense was for).

Enter the dollar amount of the expense for row 8.

Enter any short code, reference number, or brief note associated with this expense (if applicable).

Enter a short, clear description of the business expense for Other Expenses Row 9 (what the expense was for).

Enter the dollar portion of the expense amount for Row 9 (whole dollars; this field may contain large values).

Enter the cents portion of the expense amount for Row 9 (two-digit cents, if any).

Check this box if you materially participated in the operation of this business during 2017.

Check this box if you did not materially participate in the operation of this business during 2017.

Check this box if you started or acquired this business at any time during 2017.

Check this box if you made payments in 2017 that would require you to file Form(s) 1099.

Check this box if you did not make any payments in 2017 that would require you to file Form(s) 1099.

Check this box if you have filed or will file the required Forms 1099 for the payments referenced. Fill only if 'I: Made payments in 2017 requiring Form(s) 1099 — Yes' Fill only if Did you make any payments in 2017 that would require you to file Form(s) 1099? is 'Yes'.

Check this box if you did not and will not file the required Forms 1099 for the payments referenced.

Enter the proprietor's full legal name as it should appear on tax records.

Enter the proprietor's Social Security Number used for tax identification.

Provide a brief description of the principal business activity or profession, including the main product or service.

Enter the business activity code number from the IRS Schedule C instructions that best describes your principal business.

Enter the business trade name or 'doing business as' name if different from the proprietor's name; leave blank if none.

Enter the business's Employer Identification Number issued by the IRS, if applicable.

Enter the complete business mailing address, including street and suite/room number, followed by city, state, and ZIP code.

Enter the dollar portion of the total purchases less the cost of items withdrawn for personal use as reported on Line 36.

Enter the cents portion of the total purchases less the cost of items withdrawn for personal use as reported on Line 36.

Enter the total square footage of your entire home for the tax year to be used in the simplified home office calculation.

Enter the square footage of the part of your home used for business (the area claimed for the simplified home office deduction).

Enter the total other expenses amount to report on Line 48.

Enter the cents portion (two digits) of the total other expenses amount for Line 48.

Check this box if your vehicle was available for personal use during off‑duty hours (you had access to use the vehicle for personal purposes when not working).

Check this box if your vehicle was NOT available for personal use during off‑duty hours (you did not have access to use the vehicle for personal purposes when not working).