Business Tool · Taxes
Schedule C for your cottage food business, one line at a time
Ingredients to Part III. Mason jars to Line 22. Booth fees to 27a. Platform and Stripe fees to Line 10, without lifting a finger. SellFood maps every expense to its Schedule C line and reconciles the year to Line 31. Part of Artisan Pro.
The problem
A Schedule C for a home bakery has more lines than you'd think
You know what you spent. The hard part of a Schedule C for a cottage food business is knowing which line each dollar belongs on, and having a total for every line your preparer asks about. Receipts sorted by month don't answer that.
Flour is not a jar
Ingredients that become the product belong in Part III, cost of goods sold. The jars, lids, and labels you put them in are Line 22 supplies. Lump them together and your preparer has to pull them apart.
Fees you never see
Every SellFood order carries a platform fee and a Stripe processing fee. They belong on Line 10, but they never hit your bank as a separate charge, so most sellers forget them.
Nothing ties out
A spreadsheet of expenses and a Stripe payout report don't agree with each other. Your preparer needs gross sales, refunds, fees, expenses, and net profit that reconcile to one Line 31.
Try it now
Schedule C line finder
Pick something you bought this year. The finder shows the Schedule C line SellFood files it under, and why.
What did you spend on?
Where it lands
Cost of goods sold
Materials and supplies
Anything that becomes part of the product you sell is a cost of making it, not a general business expense.
Line mapping is a bookkeeping convenience, not tax advice — confirm with your preparer. This shows records, not tax owed; SellFood does not calculate tax.
The full map, category by category
| SellFood category | Schedule C line | What it covers |
|---|---|---|
| Expense categories | ||
| Ingredients | Part III | Cost of goods sold Materials & supplies |
| Packaging & Labels | Line 22 | Supplies |
| Equipment | Line 22 | Supplies Items over $2,500 may need depreciation — ask your preparer |
| Market Fees — 3rd Party | Line 27a | Other expenses |
| Kitchen Rental | Line 20b | Rent, other business property |
| Advertising | Line 8 | Advertising |
| Sales Tax Remitted | Line 23 | Taxes and licenses |
| Custom | Line 27a | Other expenses Unless you assign the category a different line |
| Platform & Stripe fees | Line 10 | Commissions and fees From your orders, automatically |
| From the rest of the Taxes page | ||
| Mileage | Line 9 | Car and truck Via Part IV |
| Home kitchen | Line 30 | Business use of home Simplified method |
| SellFood subscription | Line 27a | Other expenses |
| Net profit | Line 31 | Gross sales − refunds − fees − expenses |
In the real tool, you never pick a line. Log the expense under its category and the Schedule C view puts it where it belongs.
Start tracking →Included with Artisan Pro
What the Schedule C view does for you
Part of the Taxes page, next to the Accounting dashboard. Live today for Artisan Pro and Founding members. See pricing.
Every category mapped
Every expense category, plus fees, mileage, home kitchen, and your subscription, carries a Schedule C line. Log jam jars as Packaging & Labels; SellFood knows that's Line 22.
Custom categories, your line
Make your own category, say "Cottage food permit," and it's saved for next time. It lands on Line 27a unless you pick another line.
Schedule C view toggle
The tax-year summary shows totals by category. Flip the toggle and the same numbers regroup in Schedule C line order.
A second page on your PDF
The branded tax-year PDF gets a page in line order, so your preparer transcribes instead of sorting.
Reconciles to Line 31
Gross sales, refunds, platform fee, Stripe fees, offline sales, expenses, net profit. The P&L and the Schedule C view agree to the dollar.
Fees on Line 10, automatically
The platform fee and the actual Stripe processing fee from your own Stripe account land on Line 10 from every order. Nothing to log.
Questions sellers ask
Plain answers. None of it is tax advice, and your preparer has the final word.
Do I file Schedule C for a cottage food business?
Most cottage food sellers operate as a sole proprietor or a single-member LLC, and both typically report business income and expenses on Schedule C with a personal return. Partnerships and corporations file differently. Your preparer confirms which form applies to you. SellFood organizes your numbers in Schedule C order because that is where most home food businesses land.
Where do ingredients go on Schedule C?
SellFood maps the Ingredients category to Part III, cost of goods sold, under materials and supplies. Flour, sugar, eggs, fruit, and anything that becomes part of the product lands there. Packaging like mason jars and labels goes to Line 22, Supplies. The Schedule C view keeps the two apart.
What is Part III on Schedule C?
Part III is the cost of goods sold section. It captures what it cost to make the products you sold, mainly materials and supplies for a cottage food business. The result flows to Line 4 and reduces gross profit before Part II expenses are subtracted. SellFood shows your Ingredients total and variant-based COGS from offline sales there.
Is the Schedule C view tax advice?
No. The line mapping is a bookkeeping convenience that puts your records in the order a preparer expects. It does not decide what is deductible for you, and SellFood never calculates tax owed or a tax rate. Your preparer reviews each line and makes the final call on your return.
Does SellFood file Schedule C for me?
No. SellFood prepares the numbers, not the return. The tax-year summary, the Schedule C page on your PDF, and the preparer package put everything in line order, reconciled down to net profit on Line 31. You or your preparer file it. SellFood does not submit anything to the IRS.
Ready for January?
Log it by category. Read it by line.
Included with Artisan Pro alongside the full Taxes and Accounting pages. Start free, upgrade when you're selling. Selling from home for the first time? Read the state cottage food guides.