U.S. · Tax forms
Schedule C line 29, tentative profit or loss.
Line 7 minus line 28, and the three places it is used next.
Line 29 is the “Tentative profit or (loss)”: line 7 (gross income) minus line 28 (total expenses before home-office expenses). It is tentative because home-office costs on line 30 have not been taken out yet; line 31 subtracts line 30 to reach the net profit or loss.
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Result
Where line 29 comes from and goes (2025 instructions and form)
| Item | Meaning | What the IRS says |
|---|---|---|
| Line 7 | Gross income | Add lines 5 and 6 |
| Line 28 | Total expenses before expenses for business use of home | Add lines 8 through 27b |
| Line 29 | Tentative profit or (loss) | Subtract line 28 from line 7 |
| Line 30 | Expenses for business use of your home | From Form 8829 line 36, or the simplified method; Form 8829 line 8 starts from line 29 |
| Line 31 | Net profit or (loss) | Subtract line 30 from line 29. A profit goes on Schedule 1 (Form 1040), line 3, and Schedule SE, line 2 |
| Line 32 | Loss: check the investment box | Box 32a (all investment at risk) or 32b (some not at risk, attach Form 6198) |
Why the home-office deduction needs line 29
Form 8829 line 8 starts with the amount from Schedule C line 29, plus certain gains from the business use of the home, minus certain losses. The simplified method worksheet uses line 29 the same way in its gross income limitation. So line 29 must be settled before line 30 can be figured, which is why the form calls it tentative.
Losses on line 31
If expenses including line 30 exceed gross income, do not enter the loss on line 31 until you have applied the at-risk rules and the passive activity loss rules (Line 32 instructions and Form 8582). After applying those rules, the line 31 loss may be smaller than line 29 minus line 30.
What the instructions leave to the form
The Schedule C instructions have no separate paragraph titled “Line 29”. The line’s meaning is the arithmetic printed on the form itself, and the instructions refer to it from the home-office and line 31 sections.
Worked example
Tyler has gross income of $62,000 on line 7 and total expenses of $21,500 on line 28. Line 29 is $40,500. If he claims $1,500 on line 30 (simplified method), line 31 is $39,000, which goes to Schedule 1, line 3 and Schedule SE, line 2. Names and figures are made up.
More line pages in this set
Related lines: Form 8829 Line 8, Schedule C Line 30, Schedule C Line 23.
Sources
- Instructions for Schedule C (Form 1040) (2025): the line-by-line instructions on this page. Page last reviewed or updated April 30, 2026. Read November 2, 2026.
- Schedule C (Form 1040): the printed line wording and arithmetic on the form. Read November 2, 2026.
- Instructions for Form 8829 (2025): Form 8829 line 8 and line 36 references. Page last reviewed or updated April 30, 2026. Read November 2, 2026.
Tax year 2025 instructions (page last reviewed or updated April 30, 2026). The line labels were read from the Schedule C (Form 1040) PDF the IRS had posted on the date read, which is marked 2026; line numbers can shift between years, so check them against the form for your tax year. Names in worked examples are made up.
Frequently asked questions
What is Schedule C line 29?
The tentative profit or (loss): line 7 gross income minus line 28 total expenses before expenses for business use of your home.
Why is it called tentative?
Because the home-office expenses on line 30 are subtracted afterwards, on line 31, to give the net profit or loss.
Where does line 29 go?
Into Form 8829 line 8 (with adjustments) if you claim actual home-office expenses, into the simplified method gross income limitation if you use that method, and into the line 31 subtraction.
What if line 29 is a loss?
The instructions say to apply the at-risk and passive activity loss rules before entering a loss on line 31.
Where does the net profit go?
The form says a profit on line 31 is entered on Schedule 1 (Form 1040), line 3, and on Schedule SE, line 2.
Not tax advice
This page summarizes IRS instructions, mostly written for the people who prepare the form, and is not tax, legal or financial advice. A CPA or an enrolled agent can confirm what a line means for your return. Everything runs in your browser; nothing you enter is sent anywhere.