Proprietorship

Proprietorship means:
an unincorporated business owned by a single person. The individual proprietor has the right to all the profits from the business and also the responsibility for all its liabilities. The income of a proprietorship is reported on Schedule C of the owner's Former Federal Tax Form (check here if the Form is current) 1040. If the taxpayer is actively involved in the business, the net income is also subject to the self-employment tax.

See Tax Forms in the Encyclopedia.