Common IRS Forms Used
IRS Tax Forms Used to Determine Income
The following table outlines the most common IRS Tax Forms Used to Determine Income
Form 8829 Expenses for Business Use of Home is used to determine the percentage of shelter expenses that are applied as a business expense. You must find the Business Percentage and divide the total shelter expense by it. The sum is entered as a business expense. You would then deduct the business expense total from the total shelter expense and enter the difference as a personal shelter expense.
Utilities can only be entered as a personal SUA deduction unless the home has separate utility meters for the business. If the business has separate utility meters, the actual costs must be entered as a separate business expense.
IRS Tax Forms by Ownership Type
The following table outlines the most common IRS Tax Forms by Ownership Type
| Ownership Type | Forms Used | Use of Form for SNAP Purposes |
|---|---|---|
| Sole Proprietor |
Form 1040 Schedule C, E or F Form 8829 |
Use information on Schedule C, E or F to determine self-employment income Form 8829 is used to determine the percentage of shelter expenses that are applied to business expenses and personal shelter expenses |
| Partnership |
Form 1040 Form 1065 Schedule K-1 (1065): Each shareholder receives a Schedule K-1 that shows the individual’s profit and loss. These figures are transferred to the Form 1040. Form 8829 |
Use figures on Schedule K-1 to determine self-employment income Form 8829 is used to determine the percentage of shelter expenses that are applied to business expenses and personal shelter expenses |
| S Corporation |
Form 1040 Form 1120S Schedule K-1 (1120S) |
Client is not self-employed, use figures on Form 1040 to determine income. |
| C Corporation |
Form 1040 Form 1120 |
Client is not self-employed, use figures on Form 1040 to determine income. |
Last Update: June 29, 2018
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