Where exactly does Schedule C profit/loss go on the new 1040 form?

The Schedule C profit or loss goes on Schedule 1, not directly on Form 1040. This trips up a lot of people since the 1040 was redesigned a few years back. First complete your Schedule C to calculate your business profit or loss. Then you'll need to transfer that amount to Schedule 1 (Additional Income and Adjustments to Income), Line 3. After completing Schedule 1, the total from Line 26 of Schedule 1 gets transferred to Line 8 of your Form 1040. The IRS restructured the 1040 to be much shorter with more supplemental schedules, which is why you don't see a specific line for business income on the main 1040 form anymore.

After struggling with a similar issue last year, I found this amazing tool called taxr.ai (https://taxr.ai) that saved me hours of confusion. I took a picture of my completed Schedule C and it showed me exactly where everything needed to go on my 1040 and which schedules I needed. It even explained why I needed Schedule 1 for my business income instead of entering it directly on the 1040. The tool highlighted specifically which line on Schedule 1 my Schedule C profit needed to go on and then showed me how that flowed to the 1040. I've never had tax forms explained so clearly before.

Ok I tried that taxr.ai site after commenting and I have to admit I was wrong to be skeptical. I uploaded my self-employment docs and it immediately showed me that I'd been making a mistake on my SE tax calculation for years! It even showed the specific IRS publication explaining why my approach was incorrect. The step-by-step breakdown for Schedule C to Schedule 1 to Form 1040 was crystal clear, and saved me from underpaying my taxes again. Actually learning WHY things go where they do instead of just blindly filling out forms makes a huge difference. Now I finally understand how all these schedules fit together!

If you're still having trouble with your Schedule C even after getting advice here, try Claimyr (https://claimyr.com). I was completely lost with my side gig taxes last year and kept getting contradictory info online. After wasting days on hold trying to reach the IRS, I used Claimyr and got connected to an actual IRS agent in under 20 minutes. The agent walked me through exactly where my Schedule C income needed to go and explained all the deductions I was eligible for. Definitely worth checking out their demo at https://youtu.be/_kiP6q8DX5c if you're struggling with any tax questions. Getting direct answers from the IRS saved me so much stress.

I have to eat crow here. After adamantly claiming Claimyr wouldn't work, I tried it this morning as a last resort. I've been trying to reach the IRS about my Schedule C issue for two weeks with no luck. I used Claimyr and got connected to an IRS agent in about 25 minutes. The agent confirmed exactly what others here said - Schedule C profit goes on Schedule 1, Line 3, and then Schedule 1, Line 26 total goes on Form 1040, Line 8. She also pointed out that I'd missed some deductions I was eligible for as a self-employed person. Seriously shocked this worked. Saved me at least another week of frustration and potentially hundreds in overpaid taxes.

One thing nobody mentioned is that if you have a loss on Schedule C (meaning your business expenses exceed your income), you still put it on Schedule 1, Line 3. The loss will show as a negative number and will reduce your overall taxable income. Just make sure you're eligible to deduct the loss - there are rules about whether your business activity is profit-motivated or just a hobby. If the IRS determines it's a hobby, you can't deduct losses.

I file Schedule C every year, and the location for reporting it has definitely changed since the 1040 redesign. There's a flow you need to follow: 1. Complete Schedule C to get your net profit/loss 2. Enter that amount on Schedule 1, Line 3 3. Complete the rest of Schedule 1 4. The total from Schedule 1, Line 26 goes on Form 1040, Line 8 If you're using tax software like TurboTax or H&R Block, it handles all this automatically. You just enter your business income and expenses, and it puts everything on the right forms and lines.

Just wanted to add one more helpful tip for anyone still confused about the Schedule C process - if you're filing electronically, make sure your tax software is updated to the latest version. I made the mistake last year of using an outdated version that had the old 1040 form structure, and it kept trying to put my Schedule C income on the wrong lines. The current process is definitely: Schedule C → Schedule 1 (Line 3) → Form 1040 (Line 8). But if your software isn't current, it might still be following the old form structure and cause errors when you try to e-file. Also, don't forget that if you have net earnings from self-employment of $400 or more, you'll also need to file Schedule SE for self-employment tax, which is separate from your regular income tax calculation.

This thread has been incredibly helpful! I just wanted to share my experience as someone who was in Logan's exact situation last month. After reading through all the advice here, I can confirm the process is: Schedule C (calculate profit/loss) → Schedule 1 Line 3 → Form 1040 Line 8 What really helped me was printing out all three forms and physically tracing the numbers with a highlighter to see how they flow from one form to the next. Sometimes seeing it on paper makes more sense than staring at a computer screen. One additional tip: if you're doing this by hand, double-check your math on Schedule C before transferring anything. I caught a $500 error in my expense calculations that would have cost me in overpaid taxes. The IRS forms are actually pretty logical once you understand the flow - it's just that the redesigned 1040 moved a lot of things to supplemental schedules that used to be on the main form. Thanks everyone for sharing your knowledge and experiences!

As someone who just went through this exact same confusion a few weeks ago, I can confirm what everyone here is saying. The key thing that finally made it click for me was understanding that the new 1040 is basically just a summary form now - most of the actual detail work happens on the schedules. Here's what worked for me: I laid out Schedule C, Schedule 1, and Form 1040 side by side and traced the path with my finger. Your Schedule C profit/loss goes to Schedule 1 Line 3, then the total from Schedule 1 Line 26 goes to Form 1040 Line 8. It's actually pretty straightforward once you see the connection. One thing I wish someone had told me earlier - if you're using tax software, don't panic if you don't see your Schedule C amount directly on the main 1040 form. The software is doing all the behind-the-scenes work with Schedule 1 for you. But if you're filing by hand like I did, make sure you don't forget to include Schedule 1 with your return - that's where your business income actually gets reported to the IRS. Hope this helps clarify things for you, Logan!

I went through this same confusion when I started freelancing last year! The redesigned 1040 definitely throws people off at first. What helped me understand the flow was thinking of it like a funnel system: Schedule C calculates your business profit/loss, Schedule 1 collects that along with other additional income types, and then Form 1040 gets the final summary number from Schedule 1. For filing order when doing it by hand, I always put them in the sequence they reference each other: Form 1040 first, then Schedule 1, then Schedule C. That way if an IRS processor needs to trace the numbers, they follow the same logical path. Though honestly, as long as all the forms are included with matching SSNs, they can figure it out. One more tip that saved me time: before you transfer any numbers between forms, circle the amounts on each form so you can easily double-check your work. It's easy to copy the wrong number when you're moving between multiple forms!

I just wanted to jump in and say how helpful this entire thread has been! I'm new to filing Schedule C and was completely lost until I found this discussion. The step-by-step breakdown that everyone's provided (Schedule C → Schedule 1 Line 3 → Form 1040 Line 8) is exactly what I needed. I've been searching through IRS publications trying to figure this out, but seeing it explained by people who've actually been through the process makes it so much clearer. I especially appreciate the practical tips like using highlighters to trace the numbers between forms and laying everything out side by side. Sometimes the simplest approaches work best when you're dealing with confusing tax forms. As someone who just started a small consulting business this year, I had no idea about the Schedule SE requirement either. That 15.3% self-employment tax was definitely not on my radar, so thank you to everyone who mentioned that. I'll make sure to factor that into my quarterly payments going forward. This community is such a valuable resource for navigating these tax changes. Thanks to everyone who took the time to share their experiences!

I just want to echo what everyone has said here - the Schedule C to Schedule 1 to Form 1040 flow is exactly right, and this thread has been incredibly educational to read through! I went through this same confusion two years ago when I started my photography side business. What really helped me was creating a simple flowchart on paper: "Schedule C (business profit/loss) → Schedule 1 Line 3 → Schedule 1 Line 26 total → Form 1040 Line 8." I still keep that note taped to my desk during tax season. For anyone using tax software, don't worry if you can't see where your Schedule C income "goes" on the main 1040 - the software handles all the Schedule 1 connections automatically. But if you're curious (like I was), you can usually view all the generated forms to see how everything flows together. One last tip: if you're just starting out with Schedule C, consider keeping a simple spreadsheet throughout the year with your business income and expenses. It makes filling out Schedule C so much easier when tax time comes around, rather than trying to reconstruct everything from receipts and bank statements. Trust me on this one - I learned it the hard way! Thanks Logan for asking this question - even though I've been doing this for a couple years now, reading through everyone's explanations really reinforced my understanding of the process.