Schedule C of Form 1040 (Currently Unavailable)

Author: Allison McLeod

Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2026 to receive credits

Many self-employed or sole proprietors find themselves having to navigate Schedule C in reporting business income. While this attachment to Form 1040 seems straightforward on the surface, there are many traps for the unwary.

Publication Date: January 2023

Designed For
This course is ideal for CPAs, EAs, or other tax professionals.

Topics Covered

• Who Files Schedule C?
• Cash vs. Accrual Methods
• Deductions
• Special Issues for Self-Employed
• Depreciation & SEC. 179 Deduction
• Net Operating Losses
• Excess Business Losses

Learning Objectives

• Identify the appropriate taxpayers who should be filing Schedule C
• Recognize how to differentiate between the cash and accrual method, and the correct period in which taxpayers must recognize income and/or deductions
• Recognize how to develop a working knowledge of related issues; such as reporting the deduction of self-employed health insurance, employment taxes, home office deductions, and proper reporting of employee/independent contractor salaries, and retirement contributions
• Describe types of typical deductions, such as advertising, utilities, supplies, etc.
• Recognize how to determine the methods of deducting the cost of a company car
• Identify how to apply the rules, such as Section 179 or bonus depreciation, which permit the immediate expensing of some or all of the cost of certain assets

Level
Basic

Instructional Method
Self-Study

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
None

Advance Preparation
None