IRS 1040 SCHEDULE C Profit or Loss From Business Form

In the case of wanting to report profit or loss of a business to the IRS, the following form has to be completed and submitted.

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SCHEDULE C  
(Form 1040) 
Department of the Treasury  
Internal Revenue Service (99) 	
Profit or Loss From Business 	(Sole Proprietorship)	
▶ For information on Schedule C and its instructions, go to www.irs.gov/schedulec.	 	
▶ Attach to Form 1040, 1040NR, or 1041; partnerships generally must file F\
orm 1065.	
OMB No. 1545-0074
2012Attachment   
Sequence No. 	09 	
Name of proprietor 	Social security number (SSN)	
A          Principal business or profession, including product or service (see ins\
tructions) 	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.)  	▶	
             City, town or post office, state, and ZIP code 
F Accounting method:  (1) 	
Cash(2) 	Accrual  (3) 	Other (specify) 	 ▶
 	
G  Did you “materially participate” in the operation of this business\
 during 2012? If “No,” see instructions for limit on losses  . 	Yes	No
H  If you started or acquired this business during 2012, check here  .................	
▶	
I Did you make any payments in 2012 that would require you to file Form(s\
) 1099? (see instructions)  ........	Yes	No
J If "Yes," did you or will you file required Forms 1099?  .....................	
Yes	No	
Part I 	Income 	
1 	
1	
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\
  . ........ 	▶	
2  Returns and allowances (see instructions)  ....................	2 	
3  Subtract line 2 from line 1 ........................	3 	
4  Cost of goods sold (from line 42)  ......................	4 	
5  Gross profit.  Subtract line 4 from line 3  ....................	5 	
6  Other income, including federal and state gasoline or fuel tax credit or\
 refund (see instructions) ....	6 	
7  Gross income.  Add lines 5 and 6  .....................	▶	7 	
Part II 	Expenses	Enter expenses for business use of your home only on line 30.  	
8  Advertising .....	8 	
9 
 	Car  and  truck  expenses  (see 
instructions) .....	
9 	
10  Commissions and fees .	10 	
11 	Contract labor (see instructions)	11 	
12 Depletion  .....	12 	13 
 
 
 	Depreciation  and section  179 
expense  deduction  (not 
included  in Part  III) (see 
instructions) .....	
13 	
14 
  Employee 
benefit programs 
(other than on line 19) ..	
14	
15 	Insurance (other than health) 	15 	
16  Interest:
a	Mortgage (paid to banks, etc.)	16a	
b Other ......	16b	
17 	Legal and professional services 	17	
18  Office expense (see instructions)	18 	
19 	Pension and profit-sharing plans .	19 	
20 Rent or lease (see instructions):
a	
Vehicles, machinery, and equipment 	20a	
b  Other business property ...	20b 	
21  Repairs and maintenance ...	21 	
22 	Supplies (not included in Part III) .	22 	
23 Taxes and licenses .....	23 	
24  Travel, meals, and entertainment:
a Travel .........	
24a 	
b 
  Deductible meals and   
entertainment (see instructions)
.	
24b 	
25 Utilities ........	25 	
26  Wages (less employment credits) .	26 	
27 a Other expenses (from line 48)  ..	27a	
b  Reserved for future use ...	27b	
28  Total expenses before expenses for business use of home. Add lines 8 through 27a ......	▶	28 	
29  Tentative profit or (loss). Subtract line 28 from line 7 .................	29 	
30  Expenses for business use of your home. Attach Form 8829. Do not report such expenses elsewhere ..	30 	
31  Net profit or (loss).  Subtract line 30 from line 29. 	
•  If  a profit,  enter on both  Form  1040,  line 12 (or  Form  1040NR,  line 13) and  on Schedule  SE, line  2. 
(If you checked the box on line 1, see instructions). Estates and trus\
ts, enter on  Form 1041, line 3. 
•  If a loss, you must  go to line 32.	}	31	
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  Form  1040,  line 12, (or Form  1040NR,  line 13) 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. 	}	
32a 	All investment is at risk. 
32b 
Some investment is not  
at risk. 	
For Paperwork Reduction Act Notice, see your tax return instructions. 	Cat. No. 11334P 	Schedule C (Form 1040) 2012

Schedule C (Form 1040) 2012 	Page 	2 	
Part III 	Cost of Goods Sold  (see instructions) 	
33   Method(s) used to 
value closing inventory: 
a 	
Cost b 	Lower of cost or market  c 	Other (attach explanation) 
34    Was there any change in determining quantities, costs, or valuations bet\
ween opening and closing inventory? 
If “Yes,” attach explanation
..........................	
Yes 	No 
35  Inventory at beginning of year. If different from last year’s closing\
 inventory, attach explanation ...	
35 	
36  Purchases less cost of items withdrawn for personal use ..............	36 	
37  Cost of labor. Do not include any amounts paid to yourself ..............	37 	
38  Materials and supplies ........................	38 	
39  Other costs ............................	39 	
40  Add lines 35 through 39 ........................	40 	
41  Inventory at end of year ........................	41 	
42  Cost of goods sold.  Subtract line 41 from line 40. Enter the result here and on line 4 ......	42 	
Part IV 	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 instru\
ctions for line 13 to find out if you must 
file Form 4562. 	
43  When did you place your vehicle in service for business purposes? (mont\
h, day, year) 	▶	/ 	/ 	
44 Of the total number of miles you drove your vehicle during 2012, enter t\
he number of miles you used your vehicle for: 
a	
Business 	b  Commuting (see instructions) 	c  Other 
45  Was your vehicle available for personal use during off-duty hours? ...............	
Yes 	No 
46  Do you (or your spouse) have another vehicle available for personal us\
e? ..............	
Yes 	No 
47a Do you have evidence to support your deduction? ....................	
Yes 	No 
b  If “Yes,” is the evidence written? .........................	
Yes 	No 	
Part V 	Other Expenses.  List below business expenses not included on lines 8–26 or line 30. 	
48  Total other expenses.  Enter here and on line 27a ................	48 	
Schedule C (Form 1040) 2012