Business Income / (Loss)

Step Subject
Gross Income
Instruction Year

Report the net business income or loss from federal Schedule C. Include a copy of the federal schedule.

The IA 4562A&B (pdf) may need to be completed if the taxpayer claimed depreciation or section 179 deductions on the federal return.

Iowa has conformed with the federal repeal of like-kind exchanges of personal property for tax year 2019, but taxpayers may elect to apply the prior federal rules and treat qualifying transactions as a like-kind exchange for Iowa purposes in 2019. An election is made by completing the IA 8824 worksheet for the applicable exchange and making any required return adjustments described on that worksheet. No special attachment or statement is required. See the IA 8824 Worksheet for more information.

Taxpayers who had to make adjustments for Iowa’s nonconformity to federal law in 2018 may need to complete form IA 101 in 2019 and later years. See the IA 101 Nonconformity Adjustments form for more information.

If one spouse has a loss, the couple may want to determine if filing status 2 is to their advantage.

Schedule C filers may need an Iowa Sales Tax Permit. Businesses selling taxable products or performing taxable services must have a permit to properly collect and remit sales tax.

The Iowa Department of Revenue may require proof of any item listed on a return or schedule.

Military Spouses

Tax Responsibilities of Military Personnel

Married Separate Filers:

Reported by the spouse deriving the income or loss.

Go to Line 4

Go to Line 6