I work full time and own a small business how to file?

[Kristof85]

What form of business do I need to separate small business from private income? 

[HelenC12]

If you've incorporated, see Is TurboTax Business right for me?

If you haven't incorporated, you can file a Schedule C, Profit or Loss From Business with your personal income tax return. TurboTax automatically generates a Schedule C when you enter your business income and expenses. 

• See How do I report income from self-employment?

When you're self-employed, if it's directly related to the work you do, you can deduct it as an expense.

• Work-related expenses reduce your taxes by lowering the amount of self-employment income you get taxed on. For example, if you made $50,000 in self-employment income and had $5,000 out-of-pocket expenses, you'd only get taxed on $45,000.
• For state-specific questions regarding your work, click here to find your state’s Department of Revenue.
• For additional information, click here.

You may use the following TurboTax products to report your business, unemployment and wages:

• If you're using the TurboTax Online version, you may use TurboTax Self-Employed, and TurboTax Live Self-Employed.
• If you're using the TurboTax CD\Download version, you may use Deluxe, Premier, or Home & Business. 
• See What are the advantages of the TurboTax CD/Download software over the Online version?

Note: The higher the version, the more step-by-step guidance you'll receive. 

Related information: Self-employed and small business resources for your 2020 taxes

[Kristof85]

I would like to separate filing taxes with my own. So business separate and my private separate. Do I need to form corporation for that? Or is it possible to do it with LLC ? I don't want the business earnings to be included with my private taxes. I want everything completely separate. 

[HelenC12]

You'll have to incorporate. However, if you incorporate as an LLC, you'll still have to issue a K-1 to yourself unless you elect your single-member LLC to be taxed as a corporation. To do that, owner of the LLC must file an IRS Form 8832, which is called the entity classification election.

• Schedule K-1s are issued by pass-through entities (partnerships, S corporations, estates, trusts, and LLCs). These entities don't pay income tax on the profits and losses that are "passed through" to their partners, owners, shareholders, or beneficiaries on Schedule K-1. The recipients then report the K-1 on their own personal tax returns.
• Generally, Single-Member LLC's file a Schedule C (Form 1040). 

Use TurboTax Business (Windows only) if you need to file a return for a corporation (Form 1120), S corporation (Form 1120-S), or partnership or multi-member LLC (Form 1065).