If you own a business, freelance, or earn money through gig work, you are generally considered self-employed. You can enter Qualified Business Income (QBI) related to self-employed or sole proprietor income when entering the details about that Sole Proprietorship. 

You may receive Form 1099-NEC or Form 1099-K reporting income or transactions related to your self-employment. You will select all applicable income forms when asked about the forms of income or income sources that you have during the Schedule C interview process.

TIP: The IRS provides more detailed information to help you determine if you are self-employed on the Self-employed individuals tax center.

Desktop

To enter business income on Schedule C in the TaxAct Professional Editions program, follow the steps below:

1. From within the client return, click Federal.
2. Click the Business Income drop-down, then click Business income or loss from a sole proprietorship.
3. Click Add beside Schedule C.
4. Continue with the interview process to enter your information.

TaxAct Online

To enter business income for individual returns on Schedule C in TaxAct Online, follow the steps below:

Dashboard

1. From within your TaxAct return, click Income.
   • On smaller devices, click the menu at the top left corner of your screen, then make your selection. 
2. Expand the Business & Self Employed section. 
3. Click Add beside Self-Employment/Gig Work (Schedule C). 
4. Continue with the interview process to enter your information.

Classic

1. From within your TaxAct return, click Federal.
   • On smaller devices, click the menu at the top left corner of your screen, then make your selection. 
2. Click the Business Income drop-down, then click Business income or loss from a sole proprietorship.
3. Click Add Schedule C.
4. Continue with the interview process to enter your information.

Related Links

• Schedule C – Entering Business Expenses in Program
• Business Income vs. Nonbusiness Income
• Qualified Business Income Deduction – General Information
• Qualified Business Income Deduction – Pass-Through Partnership Income
• Qualified Business Income Deduction – Pass-Through S Corporation Income
• Qualified Business Income Deduction – Rental or Real Estate Income
• Qualified Business Income Deduction – View Entries
• IRS Publication 535