Federal Profit or Loss from Business (Sole Proprietorship)

Profit or Loss from Business (Sole Proprietorship)
2023 Schedule C (Form 1040)
SCHEDULE C
(Form 1040)

Profit or Loss From Business

Department of the Treasury
Internal Revenue Service

OMB No. 1545-0074

2023

(Sole Proprietorship)
Attach to Form 1040, 1040-SR, 1040-SS, 1040-NR, or 1041; partnerships must generally file Form 1065.
Go to www.irs.gov/ScheduleC for instructions and the latest information.

Attachment
Sequence No. 09

Name of proprietor

Social security number (SSN)

A

Principal business or profession, including product or service (see instructions)

B Enter code from instructions

C

Business name. If no separate business name, leave blank.

D Employer ID number (EIN) (see instr.)

E

Business address (including suite or room no.)

F
G

City, town or post office, state, and ZIP code
Cash
(2)
Accrual
(3)
Other (specify)
Accounting method:
(1)
Did you “materially participate” in the operation of this business during 2023? If “No,” see instructions for limit on losses

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Yes

No

H
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J

If you started or acquired this business during 2023, check here . . . . . . . . . . .
Did you make any payments in 2023 that would require you to file Form(s) 1099? See instructions .
If “Yes,” did you or will you file required Form(s) 1099? . . . . . . . . . . . . . .

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Yes
Yes

No
No

Part I
1

Income

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2
3
4

Gross receipts or sales. See instructions for line 1 and check the box if this income was reported to you on
Form W-2 and the “Statutory employee” box on that form was checked . . . . . . . . .
Returns and allowances . . . . . . . . . . . . . . . . . . . . . . . . .
Subtract line 2 from line 1 . . . . . . . . . . . . . . . . . . . . . . . .
Cost of goods sold (from line 42) . . . . . . . . . . . . . . . . . . . . . .

1
2
3
4

5
6
7

Gross profit. Subtract line 4 from line 3 . . . . . . . . . . . . . . . . .
Other income, including federal and state gasoline or fuel tax credit or refund (see instructions) .
Gross income. Add lines 5 and 6 . . . . . . . . . . . . . . . . . . .

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5
6
7

8

Advertising .

9

Car and truck expenses
(see instructions) . . .
Commissions and fees .
Contract labor (see instructions)

Office expense (see instructions) .
Pension and profit-sharing plans .

18
19

Rent or lease (see instructions):
Vehicles, machinery, and equipment
Other business property . . .

20a
20b

Repairs and maintenance . . .
Supplies (not included in Part III) .
Taxes and licenses . . . . .

21
22
23

a
b

Travel and meals:
Travel . . . . . . . . .
Deductible meals (see instructions)

24a
24b

25
26
27a

Utilities . . . . . . . .
Wages (less employment credits)
Other expenses (from line 48) . .

25
26
27a

17
28

Other . . . . . .
16b
b Energy efficient commercial bldgs
Legal and professional services
17
deduction (attach Form 7205) . .
Total expenses before expenses for business use of home. Add lines 8 through 27b . . . . . . .

27b
28

29

Tentative profit or (loss). Subtract line 28 from line 7 .

30

Expenses for business use of your home. Do not report these expenses elsewhere. Attach Form 8829
unless using the simplified method. See instructions.
Simplified method filers only: Enter the total square footage of (a) your home:

Part II

10
11

Expenses. Enter expenses for business use of your home only on line 30.
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12
13

Depletion . . . . .
Depreciation and section 179
expense
deduction
(not
included in Part III) (see
instructions)
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14

Employee benefit programs
(other than on line 19)
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Insurance (other than health)
Interest (see instructions):
Mortgage (paid to banks, etc.)

15
16
a
b

8

18
19

9
10
11

20

12

21
22
23

13

24

a
b

14
15
16a

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and (b) the part of your home used for business:
Method Worksheet in the instructions to figure the amount to enter on line 30

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31

Net profit or (loss). Subtract line 30 from line 29.

32

• If a profit, enter on both Schedule 1 (Form 1040), line 3, and on Schedule SE, line 2. (If you
checked the box on line 1, see instructions.) Estates and trusts, enter on Form 1041, line 3.
• If a loss, you must go to line 32.
If you have a loss, check the box that describes your investment in this activity. See instructions.
• If you checked 32a, enter the loss on both Schedule 1 (Form 1040), line 3, and on Schedule
SE, line 2. (If you checked the box on line 1, see the line 31 instructions.) Estates and trusts, enter on
Form 1041, line 3.
• If you checked 32b, you must attach Form 6198. Your loss may be limited.

For Paperwork Reduction Act Notice, see the separate instructions.

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Cat. No. 11334P

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29

30

31

32a
32b

All investment is at risk.
Some investment is not
at risk.
Schedule C (Form 1040) 2023

Page 2

Schedule C (Form 1040) 2023

Part III

Cost of Goods Sold (see instructions)

33

Method(s) used to
value closing inventory:

34

Was there any change in determining quantities, costs, or valuations between opening and closing inventory?
If “Yes,” attach explanation . . . . . . . . . . . . . . . . . . . . . . . . .

a

b

Cost

c

Lower of cost or market

Other (attach explanation)

35

Inventory at beginning of year. If different from last year’s closing inventory, attach explanation .

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35

36

Purchases less cost of items withdrawn for personal use

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36

37

Cost of labor. Do not include any amounts paid to yourself .

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37

38

Materials and supplies

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38

39

Other costs .

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39

40

Add lines 35 through 39 .

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40

41

Inventory at end of year .

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41

42

Cost of goods sold. Subtract line 41 from line 40. Enter the result here and on line 4 .

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42

Part IV

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Yes

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Information on Your Vehicle. Complete this part only if you are claiming car or truck expenses on line 9 and
are not required to file Form 4562 for this business. See the instructions for line 13 to find out if you must file
Form 4562.
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43

When did you place your vehicle in service for business purposes? (month/day/year)

44

Of the total number of miles you drove your vehicle during 2023, enter the number of miles you used your vehicle for:

a

No

b Commuting (see instructions)

Business

c Other

45

Was your vehicle available for personal use during off-duty hours?

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Yes

No

46

Do you (or your spouse) have another vehicle available for personal use?.

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Yes

No

47a

Do you have evidence to support your deduction?

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Yes

No

If “Yes,” is the evidence written?

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Yes

No

b

Part V

48

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Other Expenses. List below business expenses not included on lines 8–26, line 27b, or line 30.

Total other expenses. Enter here and on line 27a

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48
Schedule C (Form 1040) 2023