Form1120 or Schedule C or Prepare both C & 1120

[nosam]

Completing form federal 1120  for small business first time filer, where to enter the information on 1040 or do I need to prepare schedule C at the same time or can prepare Schedule C only for 1040?  Thank you  so much for any replies of suggestion.😘

[sjrcpa]

A corporation 1120 and a 1040 Schedule C are mutually exclusive.

[nosam]

Thank you so much for your immediate reply😘, so meaning I have to prepare both 1120 & schedule C entering the same P&L information.

[sjrcpa]

NO.

[TaxGuyBill]

If they took money out of the corporation, the C-corporation needed to file a W-2 and/or a 1099-DIV to the employee/shareholder.  Then the W-2 and/or 1099-DIV is entered on the 1040.

Because a C-corporation pays its own taxes (unlike a "pass-through" entity like a S-corporation or Partnership), nothing is entered on the 1040 besides the W-2 and/1099-DIV that the shareholder received.

[qbteachmt]

"Completing form federal 1120"

Your question should be stated as: "Completing form federal 1120 for a C Corporation" if the business entity type is a C Corporation.

"for small business first time filer"

Size is not the qualifier for what you should know about this business.

You should find another tax preparer or CPA for your client, or ask that person to mentor you. These are very basic issues you should already have learned. You don't do your best job for this taxpayer if you continue on your own.

[nosam]

This is my first time to do a small business Corporation single owner registered with NY State.  Please help!!!

Is it alright if prepare Schedule Conly

Or 1120 only if so where will I enter the 1120 info on 1040

[TaxGuyBill · Accepted solution]

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@nosam wrote:

This is my first time to do a small business Corporation single owner registered with NY State.  Please help!!!

Is it alright if prepare Schedule Conly

Or 1120 only if so where will I enter the 1120 info on 1040

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If you have not done an extensive amount of research on how corporations are taxed, you really should tell the client to go to somebody else to have the corporate return prepared.

If you want to do corporations in the future, it would be a good summer project to do some continuing education classes, research, and some practice returns.

[nosam]

Sir/Madam that is why I'm here asking for Free help . . . hoping other expert are willing to help without being sarcastic.🙄

[nosam]

Yes Sir I will consider your suggestion to do some research and look for mentor. 

[TaxGuyBill]

@nosam wrote:

Sir/Madam that is why I'm here asking for Free help . . . hoping other expert are willing to help without being sarcastic.🙄

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In my opinion, this is one of those things that should not be done by a first-timer without a significant amount of study beforehand because there is too much involved. After you have studied the basics and understand the framework of things, then it is great to ask questions on a forum like this to get the fine details figured out.

In my opinion, Corporations, Partnerships, Nonresident Aliens, and foreign taxes are all things that should not be handled by a tax professional until they have done a considerable amount of study on the subjects.

[nosam]

The Single owner Corp is in Negative Income, owner is the only employee no salary paid spend more money than the Gross Receipts. Already prepared Form 1120.  I have no problem completing Form 1120 and Schedule C.

My only question for now is, can I just prepare Schedule C only or 1120 only or Both, if 1120 only where will I enter the 1120 result on form 1040.

Pleaseeeee . . . This is Only for those Tax Expert who are willing to give Free Advise.😘

[TaxGuyBill]

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@nosam wrote:

My only question for now is, can I just prepare Schedule C only or 1120 only or Both, if 1120 only where will I enter the 1120 result on form 1040.

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Both of your questions have been answered in the comments above.  But I still want to discourage you from preparing this return because you are not currently qualified to prepare it.

[qbteachmt]

"Sir/Madam that is why I'm here asking for Free help"

"This is Only for those Tax Expert who are willing to give Free Advise."

Yes, the advice is:

You are out of your depth. This is obvious by this most basic questions you have asked.

"Already prepared Form 1120. I have no problem completing Form 1120 and Schedule C."

Your question shows there is a lot of confusion on your part for doing business income tax returns. You cannot expect an internet forum for software users, to counsel you on the entire C Corp and 1120, and how that relates to a 1040 (with or without a Sched C), because that is essentially an entire Lesson plan for learning how to do income tax returns for businesses.