Schedule C (Form 1 Profit or Loss from Business

SCHEDULE C
(Form 1040)

Profit or Loss From Business

OMB No. 1545-0074

2011

(Sole Proprietorship)

▶ For

Department of the Treasury
Internal Revenue Service (99)

information on Schedule C and its instructions, go to www.irs.gov/schedulec
▶ Attach

Attachment
Sequence No. 09

to Form 1040, 1040NR, or 1041; partnerships generally must file Form 1065.

Name of proprietor

Social security number (SSN)

A

B Enter code from instructions

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

▶

C

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

E

Business address (including suite or room no.)

F
G
H

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 2011? If “No,” see instructions for limit on losses
If you started or acquired this business during 2011, check here . . . . . . . . . . . . . . . . .

I
J

Did you make any payments in 2011 that would require you to file Form(s) 1099? (see instructions) .
If "Yes," did you or will you file all required Forms 1099? . . . . . . . . . . . . .

Part I
1a
b
c

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

▶

Income

Merchant card and third party payments. For 2011, enter -0- .
Gross receipts or sales not entered on line 1a (see instructions)

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1c
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1d

2
3

Returns and allowances plus any other adjustments (see instructions)
Subtract line 2 from line 1d . . . . . . . . . . . . .

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2
3

4
5
6

Cost of goods sold (from line 42) . . . . . . . . . . . . . . . . . . .
Gross profit. Subtract line 4 from line 3 . . . . . . . . . . . . . . . . .
Other income, including federal and state gasoline or fuel tax credit or refund (see instructions) .

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4
5
6

7

Gross income. Add lines 5 and 6 .

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Part II

Expenses

8

Advertising .

9

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

10
11
12
13

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

14

Employee benefit programs
(other than on line 19) . .
Insurance (other than health)

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16

8
9
10
11
12

13

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18

Office expense (see instructions)

18

19
20

Pension and profit-sharing plans .
Rent or lease (see instructions):
Vehicles, machinery, and equipment

19
20a

Other business property . . .
Repairs and maintenance . . .
Supplies (not included in Part III) .

20b
21
22

Taxes and licenses . . . . .
Travel, meals, and entertainment:
Travel . . . . . . . . .

23
24a

25

Deductible meals and
entertainment (see instructions) .
Utilities . . . . . . . .

24b
25

26
27a
b

Wages (less employment credits) .
Other expenses (from line 48) . .
Reserved for future use . . .

26
27a
27b

a
b
21
22
23
24
a

14
15

b

16a
16b

17

Legal and professional services

17

28

Total expenses before expenses for business use of home. Add lines 8 through 27a .

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28

29
30
31

Tentative profit or (loss). Subtract line 28 from line 7 . . . . . . . . . . . . . . . .
Expenses for business use of your home. Attach Form 8829. Do not report such expenses elsewhere .
Net profit or (loss). Subtract line 30 from line 29.

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30

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• If a profit, enter on both Form 1040, line 12 (or Form 1040NR, line 13) and on Schedule SE, line 2.
If you entered an amount on line 1c, see instr. Estates and trusts, enter on Form 1041, line 3.
• If a loss, you must go to line 32.
32

No

Yes
Yes

No
No

▶

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

Interest:
Mortgage (paid to banks, etc.)
Other . . . . . .

a
b

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Yes

1a
1b

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Income reported to you on Form W-2 if the “Statutory Employee” box on
that form was checked. Caution. See instr. before completing this line
Total gross receipts. Add lines 1a through 1c . . . . . . . .

d

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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 Form 1040, line 12, (or Form 1040NR, line 13) and
on Schedule SE, line 2. If you entered an amount on line 1c, see the instructions for line 31.
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 your tax return instructions.
Cat. No. 11334P

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31

32a
32b

All investment is at risk.
Some investment is not
at risk.
Schedule C (Form 1040) 2011

Page 2

Schedule C (Form 1040) 2011

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 2011, enter the number of miles you used your vehicle for:

a

No

▶

b Commuting (see instructions)

Business

c Other
Yes

No

45

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

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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 or line 30.

Total other expenses. Enter here and on line 27a .

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Schedule C (Form 1040) 2011