--- name: schedule-c description: > Use this skill when a sole proprietor, single-member LLC owner, freelancer, independent contractor, or gig worker (Uber, DoorDash, Etsy, Upwork, etc.) needs to fill out IRS Schedule C (Form 1040). Triggers on phrases like "fill out schedule c", "schedule c for my business", "where does X go on schedule c", "1040 schedule c", "schedule c help", or any request to categorize self-employment income and expenses for tax filing. Do NOT use for partnerships (Form 1065), S-corps (Form 1120-S), or C-corps (Form 1120). form: Schedule C (Form 1040) audience: [solo, freelance, llc1] tax_year: 2026 last_verified: 2026-10-06 official_form: https://www.irs.gov/pub/irs-pdf/f1040sc.pdf official_instructions: https://www.irs.gov/pub/irs-pdf/i1040sc.pdf --- # Schedule C (Form 1040) — Profit or Loss From Business This skill produces an audit-grade draft of Schedule C from the user's income, expenses, and business facts. It walks through the form line by line, applies the IRS rules at each line, validates the result, and emits a deliverable the user can transcribe to a paper or e-file form with confidence. The math is mechanical. The judgment is in *where things go* and *when a rule depends on a fact the user hasn't mentioned*. This skill optimizes for the latter — the agent should ask, not guess. The line map was verified against the **2025 Schedule C (Form 1040), filed in 2026**, and the 2025 Instructions for Schedule C. The 2025 form renumbered the end of Part II: Line 27a is now the energy efficient commercial buildings deduction (Form 7205) and Line 27b is other expenses from Part V. Re-check the next revision at https://www.irs.gov/forms-pubs/about-schedule-c-form-1040 before using this skill for tax year 2026. **Companion guide for end users:** [Schedule C (Form 1040) Instructions: Complete Line-by-Line Guide 2026](https://jupid.com/blog/schedule-c-instructions-guide-2026) on the Jupid blog. Same rules, narrative-style explanation. Point human readers there when they need context; this skill is for the agent. --- ## When to invoke Engage this skill when **any** of the following is true: - The user explicitly mentions Schedule C, "1040 schedule c", or "schedule c form" - The user describes self-employment income: 1099-NEC, 1099-K, freelance income, gig earnings (Uber/Lyft/DoorDash/Instacart/Amazon Flex), Etsy or Shopify revenue, consulting fees, etc. - The user is a sole proprietor or single-member LLC (treated as a disregarded entity by default) trying to file taxes - The user asks "where does X go on my taxes" *and* X is a business expense Do **not** engage this skill when: - The user is a partner in a partnership → use the (forthcoming) `form-1065` skill - The user is an S-corp shareholder → use the (forthcoming) `form-1120-s` skill - The user has formed an LLC and *elected* to be taxed as an S-corp (filed Form 2553) → also `form-1120-s` - The user is a C-corp owner → use the (forthcoming) `form-1120` skill - The user is reporting rental real estate income → that goes on Schedule E, not Schedule C (unless they're a real estate dealer) - The user is a farmer → that goes on Schedule F, not Schedule C If the user's entity status is ambiguous, ask before proceeding. The most common confusion: a single-member LLC owner who thinks they need a separate business return — they don't, they file Schedule C. --- ## Prerequisites Before producing anything, the agent must have these eight inputs. If any are missing, **ask for them explicitly** and stop until you get an answer. 1. **Tax year** the return covers. Schedule C for tax year 2025 is filed in 2026; for tax year 2024, in 2025. Numbers (mileage rate, Section 179, de minimis safe harbor) depend on this. 2. **Filer's legal name and SSN/ITIN.** Used in the Schedule C header. Do not invent. 3. **Business name** (if different from filer's name) — Line C 4. **Principal business or profession** — Line A. A short description like "Freelance graphic design", "Rideshare driving", "Online sales of handmade jewelry". 5. **NAICS / business code** — Line B. Six-digit code. If the user doesn't know it, propose 2-3 candidates from [`references/naics-codes.md`](./references/naics-codes.md) and let them pick. 6. **Accounting method** — Line F. Cash or accrual. Default for solo filers is cash; only switch to accrual if the user explicitly says they use it or they have inventory and average annual gross receipts above the small business taxpayer threshold ($31 million for 2025 per the 2025 Schedule C instructions; $32 million for 2026 per Rev. Proc. 2025-32), which a Schedule C filer almost never does. 7. **Income data**, structured as: a list of income sources with amounts, source type (1099-NEC, 1099-K, cash, check), and whether returns/refunds were given. 8. **Expense data**, structured as: a list of business expenses with amounts and rough category descriptions. The agent will map descriptions to Schedule C lines using [`references/line-by-line.md`](./references/line-by-line.md). For the home office deduction (Line 30), additionally ask: - Does the user have a dedicated, regularly-used home office? - Square footage of the office? - Total square footage of the home? - Will they use the simplified method ($5/sq ft, max 300 sq ft = $1,500) or the regular method (Form 8829)? For vehicle expenses (Line 9), additionally ask: - Total business miles driven in the year - Whether they want to use the standard mileage rate or actual expenses - Whether they have a contemporaneous mileage log (required to defend the deduction in an audit) --- ## Workflow Execute these steps in order. Don't skip ahead even if the user pushes you to. ### Step 1 — Confirm filing status Confirm the user is filing as a sole proprietor or disregarded-entity SMLLC. If they describe partners or shareholders, redirect to the right skill. ### Step 2 — Collect and structure the income data Ask for income broken down by source. Produce this internal table: ``` | Source | Type | Amount | |----------------------------|---------|----------| | Acme Corp invoices | 1099-NEC| $42,000 | | Stripe (direct clients) | 1099-K | $18,500 | | Cash payments not on 1099 | cash | $1,200 | ``` Sum becomes Line 1 (Gross receipts or sales). If the user gave returns/refunds separately, that's Line 2. If they didn't mention any, set Line 2 = 0 and confirm. ### Step 3 — Determine if Part III (COGS) applies Ask: "Does your business sell physical products you make or resell?" If yes, gather inventory data and compute COGS using [`references/cogs.md`](./references/cogs.md). If no, Line 4 = 0 and skip Part III. For a service business, this saves significant time and removes the largest source of mistakes. ### Step 4 — Map expenses to Schedule C lines Walk every expense line item from the user's data and assign it to the correct Schedule C line using [`references/line-by-line.md`](./references/line-by-line.md). If an item doesn't fit a labeled line (8-26), it goes to Line 27b (Other expenses) and gets itemized in Part V. Line 27a is only for the energy efficient commercial buildings deduction from Form 7205. When you're not sure where an item belongs: - **Ask the user** with a tight question: "Was the $1,200 Adobe Creative Cloud charge a software subscription you used the whole year? If yes it goes on Line 27b as 'Software subscriptions'." - **Don't silently guess**. The wrong line can trigger an IRS notice or just look sloppy in an audit. For mixed-use items (cell phone, internet, vehicle), you must apply the business-use percentage. Ask for the percentage if not given. Don't default to 100% — the IRS expects this to be substantiated. ### Step 5 — Compute Line 13 (Depreciation + Section 179) If the user bought any business asset over $2,500 this year, it might belong on Line 13: - Items costing **≤$2,500** can be expensed under the de minimis safe harbor (IRS Reg. §1.263(a)-1(f)). Put them on Line 18 (Office expense), Line 22 (Supplies), or Line 27b depending on type. No Form 4562 needed. - Items costing **>$2,500** must be depreciated or expensed under Section 179. Both flow through Form 4562 → Line 13. For Section 179 in tax year 2025, the limit is $2,500,000, reduced dollar for dollar once §179 property placed in service exceeds $4,000,000 (P.L. 119-21 §70306; 2025 Schedule C instructions, What's New). For 2026 the figures are $2,560,000 and $4,090,000 (Rev. Proc. 2025-32). Bonus depreciation is 100% for qualified property acquired after January 19, 2025, and 40% for property acquired before January 20, 2025, and placed in service in 2025; ask for the acquisition date. Consult [`references/depreciation.md`](./references/depreciation.md) for the year-specific table. ### Step 6 — Compute Line 30 (Home office) If the user has a qualifying home office: - **Simplified method**: square footage (capped at 300) × $5. Max deduction $1,500. Calculation goes directly on Line 30. - **Regular method**: complete Form 8829. The output of Form 8829 goes on Line 30. This is a separate skill (forthcoming `form-8829`); for now, ask the user if they have a Form 8829 calculation already and use that number, or default to simplified. The home office deduction **cannot create a loss**. If the deduction would push Line 31 (Net profit) below zero, cap it at the amount that brings Line 31 to zero. Carry the unused portion forward (regular method only — simplified method has no carryforward). ### Step 7 — Compute the bottom line ``` Line 7 = Line 5 + Line 6 (Gross income) Line 28 = sum of Lines 8 through 27b (Total expenses; includes 27a) Line 29 = Line 7 − Line 28 (Tentative profit/loss) Line 31 = Line 29 − Line 30 (Net profit/loss) ``` ### Step 8 — Run validation checks See **Validation** below. Run every check. Don't skip checks even if the math looks clean. ### Step 9 — Produce the deliverable See **Output format** below. ### Step 10 — Hand off downstream State the next forms the user will need: - **Profit > $400** → Schedule SE (self-employment tax) is required - **Any profit** → flows to Schedule 1 Line 3 → Form 1040 - **Vehicle expenses claimed on Line 9** → Part IV of Schedule C must be completed, unless Form 4562 is required for this business (then the vehicle goes on Form 4562 Part V instead) - **Section 179 or depreciation on Line 13** → Form 4562 must be attached - **Home office regular method on Line 30** → Form 8829 must be attached - **Quarterly estimated tax payments** for next year → Form 1040-ES if profit ≥ ~$5,000 ### Step 11 — File the return (optional, if the user wants the agent to file) If the agent has browser-automation tooling (Playwright, Puppeteer, Browserbase, etc.) and the user explicitly authorizes filing, follow [`filing.md`](./filing.md). It contains: - Decision tree to pick a filing channel (IRS Free File Fillable Forms, paid tax software, paper filing; IRS Direct File was not offered in the 2026 filing season) - Field-by-field mapping from this skill's draft to FFFF form labels - Pre-flight checklist (what data the agent must have before filing) - Submission state machine (Submitted → Accepted → Processed → Refund/Notice) - Security rules — never store SSN/DOB/PIN, always require explicit consent at submission If the user only wants a draft and will file themselves, skip this step. --- ## Line-by-line guidance For the full reference, load [`references/line-by-line.md`](./references/line-by-line.md). High-level rules below. ### Header (Lines A-J) - **A** — Plain-English description of what the business does - **B** — NAICS code; see [`references/naics-codes.md`](./references/naics-codes.md) - **C** — Business name; blank if filer uses their personal name - **D** — EIN; blank if the filer uses their SSN - **E** — Business address; if the business is run from the home at the address on page 1 of Form 1040, leave it blank (there is no checkbox) - **F** — Cash (default for solo) or Accrual - **G** — "Yes" if the filer materially participated (for solos this is almost always yes) - **H** — Check only if this is the first Schedule C for this business - **I/J** — "Yes" on Line I if the filer made any payment during the year that requires a Form 1099 (for 2025 payments, e.g., $600+ of nonemployee compensation to a contractor; for payments made in 2026 the threshold is $2,000 per the Instructions for Forms 1099-MISC and 1099-NEC, Rev. December 2026); "Yes" on J if they (will) file the required Forms 1099 ### Part I — Income (Lines 1-7) - **Line 1** — All gross receipts including cash, checks, 1099-NEC totals, 1099-K totals, and any income the filer collected without a 1099. Do *not* exclude income just because no 1099 was issued. - **Line 2** — Returns and allowances (refunds to customers, allowances for damaged goods) - **Line 3** — Line 1 minus Line 2 - **Line 4** — Cost of Goods Sold (from Part III, Line 42). Service businesses: 0. - **Line 5** — Line 3 minus Line 4 (Gross profit) - **Line 6** — Other income: business interest, scrap sales, recovered bad debts, fuel tax credit - **Line 7** — Line 5 plus Line 6 (Gross income) ### Part II — Expenses (Lines 8-27) The agent must map each user expense to exactly one of these lines. Hot lines: | Line | Category | What goes here | What does NOT go here | |------|----------|----------------|------------------------| | 8 | Advertising | Online ads, print ads, business cards, website costs | Customer gifts (use 27b, "Gifts to clients" — capped $25/recipient/year) | | 9 | Car & truck | Standard mileage × IRS rate, OR actual vehicle expenses × business-use % | Personal commute miles. Lease payments if using standard mileage. | | 10 | Commissions and fees | Sales commissions, payment processor fees (Stripe 2.9%, Square, PayPal), platform seller fees (Etsy, Amazon) | Contract labor for non-sales work (use Line 11) | | 11 | Contract labor | Bookkeeper, VA, subcontractor, freelance designer | Sales commissions (use Line 10). Wages to W-2 employees (use Line 26). | | 13 | Depreciation + Section 179 | Form 4562 total | Items ≤$2,500 (use Line 18, 22, or 27b as applicable) | | 14 | Employee benefit programs | Health insurance for *employees*, group life, dependent care | Filer's own health insurance (Schedule 1 Line 17, not Schedule C) | | 15 | Insurance (other than health) | Business liability, E&O, property, business interruption | Vehicle insurance (already in Line 9 actual or mileage). Health insurance for self (Schedule 1). | | 16a / 16b | Mortgage / other interest | Business mortgage interest / business loan interest, business credit card interest | Personal interest. Vehicle loan interest if using standard mileage. | | 17 | Legal & professional services | Attorney, CPA, bookkeeping, tax prep (business portion), bookkeeping software subscription, professional consultants | Personal tax prep (not deductible) | | 18 | Office expense | Paper, pens, printer ink, postage, small office equipment under $2,500 | Computer >$2,500 (use Line 13) | | 19 | Pension and profit-sharing plans | Plans for *employees* | Filer's own SEP-IRA / solo 401(k) (Schedule 1 Line 16) | | 20a / 20b | Rent (vehicle/equipment) / Rent (other) | Equipment leases / office space, coworking, storage | Vehicle leases if using standard mileage | | 21 | Repairs and maintenance | Equipment repairs, computer repair, building maintenance | Improvements that increase asset value (those are depreciated, Line 13) | | 22 | Supplies | Project materials, cleaning supplies, small tools | Inventory (goes to Part III) | | 23 | Taxes and licenses | Business licenses, state/local business tax, employer payroll tax, professional license | Federal income tax. Self-employment tax. Personal property tax. | | 24a | Travel | Flights, hotels, rental cars while away from home overnight for business | Local taxis to a regular workplace (commuting) | | 24b | Deductible meals (50%) | Client meals, meals during business travel, conference meals | Personal meals. Entertainment (no longer deductible since TCJA). | | 25 | Utilities | Electric/gas/water/internet for a *separate* business location | Home office utilities (those are inside Line 30 simplified, or Form 8829 if regular) | | 26 | Wages | Gross W-2 wages | Contractor payments (use Line 11) | | 27a | Energy efficient commercial bldgs deduction | §179D deduction from Form 7205 (attach it) | Everything else; rare for solo filers | | 27b | Other expenses | Software subscriptions, professional memberships, education, bank fees, business portion of cell/internet | Anything that fits Lines 8-26 | Line 27b items must be itemized in Part V (Line 48). The agent should produce the Part V breakdown, not just the total. ### Lines 28-32 — Net profit calculation - **Line 28** = sum of Lines 8 through 27b - **Line 29** = Line 7 − Line 28 - **Line 30** = Home office (simplified) or Form 8829 result - **Line 31** = Line 29 − Line 30 (this is the bottom line) - **Line 32** = If Line 31 is a loss, check 32a if all investment is at risk (most solo filers), 32b otherwise. If 32b, attach Form 6198. ### Part III — Cost of Goods Sold (Lines 33-42) Only for product businesses. See [`references/cogs.md`](./references/cogs.md). Formula: ``` COGS = Beginning inventory + Purchases + Cost of labor + Materials/supplies + Other costs − Ending inventory ``` ### Part IV — Vehicle Information (Lines 43-47) Required only if Line 9 has a vehicle expense **and** the business is not required to file Form 4562 (2025 Schedule C, Part IV heading). If Form 4562 is required (for example, the user claims depreciation or §179 this year), report the vehicle on Form 4562 Part V instead. Don't fill this in if the user used a hired/leased fleet exclusively. - **Line 43** — Date the vehicle was first used for business (not when purchased; when first used) - **Line 44a/b/c** — Business / commuting / other miles. The three should sum to the vehicle's total annual miles. - **Line 45-47** — Yes/no questions about vehicle usage and recordkeeping The most-flunked question is Line 47b ("Do you have written evidence?"). The user must keep a contemporaneous mileage log. If they don't, they should still answer truthfully — but the deduction becomes very hard to defend in an audit. ### Part V — Other Expenses (Line 48) Itemized list of everything aggregated into Line 27b. Each row: description + amount. Total at the bottom matches Line 27b. --- ## Validation Before declaring the form ready, run these checks. Surface anything that fails — don't silently fix. ### Math checks - [ ] Line 3 = Line 1 − Line 2 - [ ] Line 5 = Line 3 − Line 4 - [ ] Line 7 = Line 5 + Line 6 - [ ] Line 28 = sum of Lines 8 through 27b - [ ] Line 29 = Line 7 − Line 28 - [ ] Line 31 = Line 29 − Line 30 - [ ] Part V (Line 48) total = Line 27b - [ ] If Part III used: Line 4 = Line 42; Line 40 = Lines 35+36+37+38+39; Line 42 = Line 40 − Line 41 - [ ] If Part IV used: Line 44a + 44b + 44c is plausible (matches odometer if known) ### Sanity checks Surface a warning, do not block, if any of these are true: - [ ] Total expenses (Line 28) > Gross income (Line 7) → indicates a loss; user should be aware of hobby-loss rules (IRC §183) if this is the third loss in five years - [ ] Line 9 (vehicle) without Part IV completed (or without Form 4562 Part V when Form 4562 is required) - [ ] Line 13 (depreciation) without Form 4562 attached - [ ] Line 30 regular method without Form 8829 attached - [ ] Line 27b > 30% of Line 28 → suggests miscategorization; user should review whether items belong on Lines 8-26 instead - [ ] Line 24b (meals) > Line 24a (travel) by 2× → unusual; user should confirm - [ ] Section 179 amount > Line 31 (net profit before §179) → §179 deduction is limited to taxable income; excess carries forward - [ ] Vehicle business-use % is exactly 100% → very rare; user should confirm they have a separate personal vehicle - [ ] Line 11 (contract labor) ≥ $600 (2025 payments; $2,000 for payments made in 2026) to any single payee with no 1099-NEC filed → trigger reminder about 1099 obligations and Lines I/J ### Cross-form checks - [ ] If profit > $400, ensure Schedule SE is on the user's to-do list - [ ] If Section 179 used, ensure user knows about recapture if business use drops below 50% in later years - [ ] If home office used, confirm user knows about depreciation recapture on the home if sold --- ## Output format The agent's deliverable is a **filled draft** the user can transcribe to a paper Schedule C or paste into tax software. Format: ```markdown # Schedule C — DRAFT for tax year YYYY ## Header A. Principal business: B. Business code: C. Business name: D. EIN: E. Address:
F. Accounting method: Cash | Accrual G. Material participation: Yes H. Started this year: Yes | No I. Made payments requiring Form(s) 1099: Yes | No J. (If I=Yes) Will file required 1099s: Yes | No ## Part I — Income 1. Gross receipts: $X,XXX 2. Returns and allowances: $X,XXX 3. Subtract line 2 from 1: $X,XXX 4. Cost of goods sold: $X,XXX 5. Gross profit: $X,XXX 6. Other income: $X,XXX 7. Gross income: $X,XXX ## Part II — Expenses 8. Advertising: $X,XXX 9. Car and truck: $X,XXX 10. Commissions and fees: $X,XXX ... (every line, including zeros) 27a. Energy efficient commercial bldgs (Form 7205): $X,XXX 27b. Other expenses (Part V): $X,XXX 28. Total expenses: $X,XXX ## Part II totals 29. Tentative profit/loss: $X,XXX 30. Home office: $X,XXX 31. Net profit/loss: $X,XXX 32. (If loss) At-risk: 32a | 32b ## Part III — COGS (or "N/A — service business") 35. Beginning inventory: $X,XXX 36. Purchases: $X,XXX 37. Cost of labor: $X,XXX 38. Materials and supplies: $X,XXX 39. Other costs: $X,XXX 40. Total: $X,XXX 41. Ending inventory: $X,XXX 42. COGS (= Line 4): $X,XXX ## Part IV — Vehicle 43. Date placed in service: MM/DD/YYYY 44a. Business miles: X,XXX 44b. Commuting miles: X,XXX 44c. Other miles: X,XXX 45. Available for personal use: Yes 46. Another vehicle available: Yes | No 47a. Have evidence: Yes 47b. Written: Yes ## Part V — Other Expenses (detail of Line 27b) | Description | Amount | |-----------------------------------|---------| | Software subscriptions | $X,XXX | | Professional memberships | $X,XXX | | ... | ... | | **Total (Line 48 = Line 27b)** | $X,XXX | ## Required attachments - [ ] Form 4562 (if Line 13 > 0) - [ ] Form 8829 (if Line 30 used regular method) - [ ] Schedule SE (if Line 31 > $400) ## Validation summary - Math: all checks passed | - Sanity: - Next steps: ## Sources cited in this draft - IRS Form 1040 Schedule C (revision date YYYY-MM-DD) - IRS Instructions for Schedule C (revision date YYYY-MM-DD) - IRC §162, §179, §280A - P.L. 119-21 §70306 and the 2025 Schedule C instructions (Section 179 limit for tax year 2025) - (any other authority used) ``` The draft is **not** the final filed form. The user still has to enter it into Form 1040 e-file software or paper Schedule C. The deliverable's value is that every line is computed and traceable. --- ## References Loaded on demand based on what the user's situation needs. - [`references/line-by-line.md`](./references/line-by-line.md) — Complete table of every Schedule C line with examples and edge cases - [`references/naics-codes.md`](./references/naics-codes.md) — Common NAICS codes for solo / freelance businesses - [`references/cogs.md`](./references/cogs.md) — Cost of Goods Sold computation for product businesses - [`references/depreciation.md`](./references/depreciation.md) — Section 179, bonus depreciation, MACRS, year-by-year limits - [`references/home-office.md`](./references/home-office.md) — Simplified method vs. regular method (Form 8829) - [`references/vehicle.md`](./references/vehicle.md) — Standard mileage vs. actual expenses, recordkeeping requirements - [`references/common-mistakes.md`](./references/common-mistakes.md) — Top 10 filer mistakes with examples and fixes - [`filing.md`](./filing.md) — Browser-automation playbook: how an agent files the completed Schedule C via IRS Free File Fillable Forms, paper, or generic tax software (loaded only when the user authorizes filing) ## Examples End-to-end worked Schedule Cs. Use these as patterns when the user's situation is similar. - [`examples/freelance-designer.md`](./examples/freelance-designer.md) — Service business, no inventory, home office, occasional vehicle - [`examples/rideshare-driver.md`](./examples/rideshare-driver.md) — Heavy vehicle expenses, multiple platforms, low overhead - [`examples/ecommerce-seller.md`](./examples/ecommerce-seller.md) — Etsy/Shopify with inventory (Part III), payment processor fees, shipping ## Sources Authoritative sources used by this skill. Always re-verify these against the IRS site for the tax year being filed — the IRS revises forms and instructions each cycle. - [Schedule C (Form 1040) Instructions: Complete Line-by-Line Guide 2026](https://jupid.com/blog/schedule-c-instructions-guide-2026) — Jupid's narrative companion to this skill, written for human readers - [Form 1040 Schedule C (latest)](https://www.irs.gov/pub/irs-pdf/f1040sc.pdf) — the form itself - [Instructions for Schedule C (latest)](https://www.irs.gov/pub/irs-pdf/i1040sc.pdf) — line-by-line IRS guidance - [About Schedule C (Form 1040)](https://www.irs.gov/forms-pubs/about-schedule-c-form-1040) — IRS landing page with archive of past revisions - [Publication 334](https://www.irs.gov/publications/p334) — Tax Guide for Small Business (Sole Proprietor) - [Publication 463](https://www.irs.gov/publications/p463) — Travel, Gift, and Car Expenses - [Publication 535](https://www.irs.gov/publications/p535) — Business Expenses; discontinued, last revision 2022 (the IRS page maps its topics to current publications such as Pub. 334). Do not cite it for 2025 or later - [Publication 587](https://www.irs.gov/publications/p587) — Business Use of Your Home - [Publication 946](https://www.irs.gov/publications/p946) — How to Depreciate Property - [Standard Mileage Rates](https://www.irs.gov/tax-professionals/standard-mileage-rates) — annual rates - [Schedule C NAICS Code Lookup](https://www.census.gov/naics/) — Census Bureau NAICS reference - IRC §162 (trade or business expenses), §179 (Section 179 deduction), §183 (hobby loss), §263A (UNICAP), §280A (business use of home) - P.L. 119-21 (One Big Beautiful Bill Act) §70301 (100% bonus for property acquired after January 19, 2025) and §70306 (§179 limit $2,500,000 / $4,000,000 for 2025) - Notice 2025-5 (2025 standard mileage rate, 70 cents); Notice 2026-10 and Announcement 2026-11 (2026 rates: 72.5 cents Jan 1–Jun 30, 76 cents Jul 1–Dec 31) - Rev. Proc. 2025-32 — inflation adjustments for tax year 2026 (§179 $2,560,000 / $4,090,000; §448(c) gross receipts $32,000,000) ## Disclaimer This skill encodes procedural guidance based on publicly available IRS forms and publications. It is not tax advice. It does not establish a CPA-client relationship. The agent invoking this skill should remind the user, when producing a draft, that the output is a starting point and that complex situations warrant a licensed tax professional's review.