Sch C End of Year Inventory

[gentryv42]

I was looking at last year's Sch C and noticed the line for the End of Year Inventory (line 41) is blank. It should have been 0 anyway.

Do I need to include a explanation to the IRS for having 0 on this year's return for the starting inventory because for some reason it wasn't filled in last year?

[MichaelDC · Accepted solution]

No, you don't need to include a explanation to the IRS for having 0 on this year's return. It's actually fairly typical. In addition, it makes sense that last year's ending inventory of "zero"/blank would be this year's starting. The fact that it was blank is a non-issue.

[gentryv42]

Thank you!