You may use Schedule C-EZ instead of Schedule C if you:
- Had business expenses of $5,000 or less.
- Use the cash method of accounting. (See “Cash Basis” post).
- Did not have an inventory at any time during the year.
- Did not have a net loss from your business.
- Had only one business as either a sole proprietor, qualified joint venture, or statutory employee.
- Had no employees during the year.
- Are not required to file Form 4562, Depreciation and Amortization, for this business. (See the instructions for Schedule C, line 13, to see if you meet this test).
- Did not deduct expenses for business use of your home (home office deduction).
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