Which form do self-employed individuals typically use to report their income?

Self-employed individuals typically utilize Form 1040 Schedule C to report their income. This form is specifically designed for reporting income or loss from a business that a sole proprietor operates. When completing Schedule C, self-employed individuals detail their business income and expenses, allowing them to calculate their net profit or loss, which is then transferred to their Form 1040.

This is crucial for self-employed individuals as it helps establish their taxable income, which will ultimately affect their personal income tax liabilities. Schedule C is also important because it allows for the deduction of various business expenses, which can help lower the overall tax burden.

The other forms listed serve different purposes. Form 1040 is the standard individual income tax return form but does not specifically address the unique reporting needs of self-employed individuals. Form 1065 is used for partnerships to report income, gains, losses, deductions, and credits, while Form 1099 is an information return used to report various types of income other than wages, salaries, and tips, but it is not the form self-employed individuals would file to report their earnings as a business.