Reminders — Instruction 1040 (Schedule C)

Form 1040-SS filers and business use of home. Taxpayers who file Form 1040-SS and claim a deduction for business use of home will report the expense on Schedule C (Form 1040). Filers will use Form 8829, Expenses for Business Use of Your Home, if applicable, to figure the deduction and report the amount on Schedule C, line 30.

Redesigned Form 1040-SS. Schedule C (Form 1040) is available to be filed with Form 1040-SS, if applicable. It replaces Form 1040-SS, Part IV. For additional information, see the Instructions for Form 1040-SS.

Business meals deduction. The business meals deduction is 50%.

Reporting nontaxable Medicaid waiver payments. Certain Medicaid waiver payments that are reported to you on Form 1099-MISC or Form 1099-NEC may be nontaxable. For information on how to report these payments on Schedule C, see Medicaid waiver payments, later.

Gig economy tax center. The gig (or on-demand, sharing, or access) economy refers to an activity where people earn income providing on-demand work, services, or goods. Go to IRS.gov/Gig to get more information about the tax consequences of participating in the gig economy.

Excess business loss limitation. If you report a loss on line 31 of your Schedule C (Form 1040), you may be subject to a business loss limitation. The disallowed loss resulting from the limitation will not be reflected on line 31 of your Schedule C. Instead, use Form 461 to determine the amount of your excess business loss, which will be included as income on Schedule 1 (Form 1040), line 8p. Any disallowed loss resulting from this limitation will be treated as a net operating loss that must be carried forward and deducted in a subsequent year.

See Form 461 and its instructions for details on the excess business loss limitation.

Small Business and Self-Employed (SB/SE) Tax Center. Do you need help with a tax issue or preparing your return, or do you need a free publication or form? SB/SE serves taxpayers who file Form 1040 or 1040-SR, Schedules C, E, and F, or Form 2106, as well as small business taxpayers with assets under $10 million. For additional information, go to the Small Business and Self-Employed Tax Center at IRS.gov/SmallBiz .

Instructions for Schedule C (Form 1040) (2025) Catalog Number 24329W Jan 2, 2026 Department of the Treasury Internal Revenue Service www.irs.gov