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Video instructions and help with filling out and completing Form 1040 vs. Form 1040 Schedule C

Instructions and Help about Form 1040 vs. Form 1040 Schedule C

Hey everyone, I'm Bradford with the Penny Pictures account of personal finance. Whether you just started driving for Uber, renting out your house, or finally started the business of your dreams, congratulations! You are now a small business owner. With that in mind, you need to become familiar with the Schedule C of the IRS Form 1040. This is how you're going to report all of your business expenses, revenue, and deductions for tax purposes. Let's jump into the Schedule C and see how you fill it out. So here we have the Schedule C for Form 1040 for the 2021 tax year. Starting from left to right, top to bottom, I'm going to walk you through how to fill it out. The first part is going to be the name of the proprietor, and that's going to be you. Then, we're going to enter your social security number. The next part, A, is your principal business or profession. In plain English, what is your primary business activity? In this example, I'm basing the business off the one that Chase and I have as a partnership, but in this example as a sole proprietorship, so I'm going to say it's a content creator on YouTube. B, enter your code from the instruction that corresponds to your business activity. So, you go to the Schedule C instructions which I have a link down below. If you go to the very bottom, it's going to have a large list of various business types and activities, along with the corresponding code. Find the code that best fits your business activity and then enter it into B. C, business name. If you don't have one, leave it blank. It's not required. D, your employer identification number or EIN. Most sole proprietorships are not required to have one of...