Schedule C Bakery... I'm supposed to be entering the percent on line 7 of the schedule C that is from the business use of this home? I have no idea what this is

[AnnetteB · Accepted solution]

There is a limitation related to home office expenses and the income that was earned while using the home office (reported on Form 8829).  This question is gathering information to apply that limitation. 

The question is asking what percentage of your business gross income is attributed to work done in your home office. 

For example:  If all your work is done in your home office, enter 100 (for 100%).  But if you figure that one-fourth of your income is made on the road (or at other locations than your home office) and three-fourths of your income is made from your home office, enter 75 (for 75%).