Sch C (1040) Profit or Loss From Business (Sole Proprietorship)

Version A, Cycle 2

SCHEDULE C
(Form 1040)

Profit or Loss From Business

Department of the Treasury
Internal Revenue Service

OMB No. 1545-0074

2022

(Sole Proprietorship)
Go to www.irs.gov/ScheduleC for instructions and the latest information.

Attachment
Sequence No. 09

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

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 2022? If “No,” see instructions for limit on losses

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Yes

No

H
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If you started or acquired this business during 2022, check here . . . . . . . . . . .
Did you make any payments in 2022 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
2
3
4

Income

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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

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

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

Travel and meals:
Travel . . . .

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24a

Deductible meals (see
instructions) . . . . . . .
Utilities . . . . . . . .
Wages (less employment credits)

24b
25
26

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INTERNAL USE ONLY
DRAFT AS OF
April 14, 2022

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6
7

Part II
8

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

Advertising .

9

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

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11
12
13

Depletion . . . . .
Depreciation and section 179
expense
deduction
(not
included in Part III) (see
instructions)
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14
15
16
a
b

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

8

18
19

9
10
11

20

12

21
22
23

13

24

a
b

a
14
15

b
25
26

16a

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17
28

Other . . . . . .
16b
27a Other expenses (from line 48) .
Legal and professional services
17
b Reserved for future use . .
Total expenses before expenses for business use of home. Add lines 8 through 27a . . . . . .

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27a
27b
28

29

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

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29

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:

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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
31

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. Use the Simplified
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Net profit or (loss). Subtract line 30 from line 29.
• 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.
D/^.)
• If a loss, you must go to line 32.

32

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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 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.
Cat. No. 11334P

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30

31

32a
32b

All investment is at risk.
Some investment is not
at risk.
Schedule C (Form 1040) 2022

Version A, Cycle 2
Page 2

Schedule C (Form 1040) 2022

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

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

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42

42

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

44

No

INTERNAL USE ONLY
DRAFT AS OF
April 14, 2022

Part IV

43

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Yes

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Of the total number of miles you drove your vehicle during 2022, enter the number of miles you used your vehicle for:

a

b Commuting (see instructions)

Business

c Other

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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

45

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

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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48
Schedule C (Form 1040) 2022