JohnW222
Expert Alumni

Get your taxes done using TurboTax

When you file a Schedule C, you have to identify whether you're using your own money for the business.

At risk means you're using your own money, or borrowed funds for which you're personally liable, for the business.   A loss may only be deducted up to the amount you personally have at risk.

You must check a box on Schedule C indicating whether or not your business is considered "at-risk."

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