Reports & taxes

Schedule C and tax set-aside

Two things make tax time painless: a Schedule C summary your preparer can work from directly, and knowing all year how much to set aside so there is no April surprise.

Heads up: This is bookkeeping, not tax advice. The summary and estimate are built to hand to a tax professional, not to replace one. Depreciation, home-office and vehicle-method elections are decisions they make.

The Schedule C summary

Open Reports → Schedule C Summary and pick Last year (or year to date mid-year). Each expense category in your chart of accounts maps to a line on IRS Form 1040 Schedule C, so the report reads like the form:

Part I — gross receipts (line 1), returns (2), cost of goods sold (4), other income (6), gross income (7).
Part II — expenses by line: advertising (8), car and truck (9), contract labor (11), insurance (15), office (18), rent (20), supplies (22), travel (24a), meals (24b), utilities (25), other (27a) and the rest.
Line 28 / 31 — total expenses and net profit.

The Booked column is what you spent; Deductible applies the limits we know about — currently the 50% rule on meals. Expenses that belong elsewhere on your return (owner health insurance) are listed separately underneath so nothing is forgotten.

Handing it to your preparer

Make sure every month of the year is closed so the numbers won't move.
On the Reports page, set the period to the tax year and download the Schedule C, P&L, Balance sheet and Trial balance CSVs.
Send them along with your 1099s and any receipts for large equipment purchases.

If your preparer wants something in a different shape, the General ledger export has every line and they can build anything from it.

The tax set-aside estimate

The dashboard card estimates the tax on your profit so far this year, using 2025 federal rates:

Self-employment tax — 15.3% on 92.35% of net profit (Social Security up to the annual wage base, Medicare without a cap). Not applied for S corporations, where payroll handles it.
Federal income tax — net profit, less half the SE tax, less the 20% qualified business income deduction, less the standard deduction for your filing status, run through the brackets.
State — a flat percentage you set in Settings. Leave it at zero in a no-income-tax state.

The percentage shown ("about 22% of profit") is the practical number: move that share of each payment you receive into a savings account and the estimate takes care of itself. The card also shows the next quarterly estimated-payment date (April 15, June 15, September 15, January 15).

Note: The estimate assumes the business is your only income and you take the standard deduction. A spouse's W-2, other income or itemizing changes the real number — that's a conversation for your preparer, who can tell you an exact quarterly amount.

Tuning it

In Settings → Business details, set your filing status (single, married filing jointly, head of household) and state income tax rate. Both only affect the estimate, not the books.